"BlueBridge Networks Alert: Bonus Depreciation Allowance for Technology Spending About to End"

If a Company is contemplating a capital expenditure or IT enhancement, it should seriously consider completing this transaction by the end of the year. A special depreciation allowance created by Congress after 9/11 allows favorable treatment of IT equipment and software if purchased by December 31st, 2004.

(PRWEB) August 30, 2004 -- IF A COMPANY IS CONTEMPLATING A CAPITAL EXPENDITURE or IT enhancement, it should seriously consider completing this transaction by the end of the year. A special depreciation allowance created by Congress after 9/11 allows favorable treatment of IT equipment and software if purchased by December 31st, 2004. The ability to improve the asset position of a Company while minimizing the Companys tax liability can be of tremendous value to IT executives and managers.

We feel it is important that when IT executives are planning for capital expenditures they understand that this valuable bonus depreciation allowance will expire on December 31st of 2004," offered Neil J. Adelman – Chief Executive Officer of BlueBridge, IT executives and managers should be planning to take advantage of this opportunity."

The Section 179 depreciation deduction is $102,000 for both new and used business equipment and software placed in service during tax years beginning in 2004. This means a company may be able to immediately deduct a significant portion of any equipment and software additions during the year.

Above and beyond the generous Section 179 deduction, a company can also claim first-year bonus depreciation equal to 50% of the cost of new, but not used, equipment and software acquired and placed in service by December 31st, 2004. However, the bonus depreciation break will expire at year-end, unless Congress takes further action. It is imperative that IT executives, and even financial executives, begin to focus on this opportunity.

Adelman added, This bonus depreciation allowance is a winning proposition for IT executives."

BLUEBRIDGE NETWORKS IS A leading provider of high availability collocation, dedicated Internet access, managed security services and business continuity. The Company, headquartered in Cleveland, OH, owns and operates carrier-class Internet Data Centers throughout the state of Ohio.

BlueBridge is not providing tax advice. A Company or individual should consult with their own accountant and other advisors on financial and tax matters regarding this or any other tax matter.

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