Section 179 of the US Tax Code allows small businesses to deduct the full purchase price of equipment in that tax year (even if they’re leasing it), up to $1,000,000, instead of spreading the depreciation of the purchase over multiple years. This means that if you buy a new camera system or photo gear, you can deduct it from your taxable income immediately, saving you from paying additional, unnecessary income tax. This makes purchasing equipment for your business a strategic benefit, and now the best time to upgrade or add to your photo studio.
This means that you have the ability to:
- Buy or lease the equipment that you need now.
- Realize significant tax savings by buying now.
- Gain benefits even if leasing.
For an idea of what that can save you in taxes, use this convenient Section 179 Deduction Calculator, or reach out to the knowledgeable team at DT to help answer any questions.