(PRWEB) January 23, 2013
Envision Capital Group, a top equipment leasing company in Orange County California, reports that the Section 179 limits have been modified. The limits were raised in a generous fashion amid the ‘Fiscal Cliff’ crisis for the 2013 tax year, and were also amended for the 2012 tax year.
For 2013, and 2012, the new deduction limit has been increased to $500,000. The recent 2012 deduction was limited to $139,000, but has been increased, and qualifying businesses can now deduct up to $500,000 on their equipment purchases for the 2012 tax year.
Essentially, the Section 179 tax code is an incentive created by the government to inspire businesses to invest in themselves. The deduction is specifically geared towards small and medium businesses, as the amount of the deduction begins to decrease once a business has purchased more than $2,000,000 of equipment that year. Under Section 179, qualified businesses are able to deduct the full purchase price of certain equipment from their gross income, if purchased during the tax year.
Companies who lease equipment can still take full advantage of the Section 179 Deduction for this upcoming tax season. 80% of businesses in the U.S. lease their equipment and have this tax deduction in mind as a financial strategy for their company. Leasing can significantly help with cash flow, and keep lines of credit open for other areas of the business.
“Although this deduction is only but a piece of the puzzle to helping a company, it’s a pleasure to see it increased to a healthy amount, and it’s a bonus that businesses who purchased or leased from us last year, can take advantage of this higher limit too,” CEO Brett Allen added.
The new deduction limit is available for machines, computers, office equipment, office furniture, and large manufacturing tools to name a few. To find out more information on Section 179, please visit our Section 179 information page.
Envision Capital Group services any business type, any equipment type, and any credit type, nationwide. They offer equipment leasing, equipment loans, and vendor financing solutions, as well as competitive working capital programs. With over 50 years of combined experience, Envision Capital’s goal is to provide top service by building long-term relationships, and helping clients achieve their goals