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Maximize Your 2024 Tax Savings: How the Section 179 Deduction Helps You Save on Office Equipment and Technology


Maximize savings and reduce your tax liabilities with the Section 179 deduction! Upgrade your office tech with ABM before the year ends.

As we close in on the end of the calendar year, businesses of all sizes are looking for smart ways to maximize savings and reduce their tax liabilities. One of the most powerful tools at your disposal is the Section 179 deduction. This tax incentive allows businesses to deduct the full purchase price of qualifying equipment, like office technology and machinery, in the year it's placed into service, rather than depreciating it over time. If you’re planning to upgrade your office equipment, Section 179 can significantly impact your bottom line.


What is the Section 179 Deduction?

Section 179 of the IRS tax code is designed to encourage businesses to invest in themselves by purchasing or leasing new equipment. Instead of spreading the cost of equipment over several years through depreciation, Section 179 allows you to deduct the full cost upfront. For businesses that need to modernize, it's a game-changer.

In 2024, the maximum deduction limit for Section 179 is set at $1,160,000, with a total equipment purchase limit of $4,050,000. This means your business can invest in equipment and potentially deduct up to $1,160,000 on your tax return, giving you substantial savings.


What Equipment Qualifies for Section 179?

The Section 179 deduction covers a wide range of office equipment that businesses use every day. Qualifying equipment that ABM offers include:

  • Office Equipment: Printers, copiers, scanners, and wide-format printers

  • Office Technology: Computers, servers, and software solutions designed to improve productivity and efficiency

  • Security Systems: Advanced video surveillance cameras and access control systems to safeguard your business

All of these items are eligible for the Section 179 deduction, making it easier and more affordable for your business to upgrade to the latest technology.

At American Business Machines, we specialize in helping businesses upgrade their office technology, from multifunction printers and document management systems to wide-format printers and security systems. All these types of equipment are eligible under Section 179, making now the perfect time to invest.


Key Benefits of the Section 179 Deduction

  1. Immediate Savings: Deducting the full purchase price in the year you buy the equipment can significantly reduce your taxable income, leading to immediate savings.

  2. Cash Flow Improvement: By accelerating the depreciation, you’ll keep more cash in your business now, which can help you reinvest and grow.

  3. Technology Upgrades: Whether you’re looking to upgrade your old office printers or install state-of-the-art security cameras, Section 179 can offset the cost, making modernization more affordable.


Lease or Purchase – Both Qualify!

One of the lesser-known benefits of Section 179 is that it applies to both purchases and leases. If your business prefers to lease equipment, you can still deduct the full purchase price as long as the equipment is placed into service by the end of the year. Leasing can be a great way to preserve your cash flow while still taking advantage of this generous deduction.


Why You Should Act Now

The Section 179 deduction is only available for equipment purchased and placed into service by December 31, 2024. Planning ahead ensures you can maximize your tax savings before the deadline. Waiting too long could result in missing out on this valuable opportunity.


At American Business Machines, we’re ready to help you identify the best technology solutions for your business needs and make sure you take full advantage of the Section 179 deduction. With multiple locations throughout Central and Southern California, we’re here to support you with fast service and expert advice.


 

Ready to maximize your savings? Contact us today to learn more about how American Business Machines can help you upgrade your office technology while taking advantage of Section 179 deductions.

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