Did you know that the US tax rule 179 allow you to deduct software purchases from your taxes?
Section 179 of the IRS tax code allows businesses to deduct the full purchase price of software purchased or financed during the tax year. It’s an incentive created by the U.S. Government to encourage businesses to buy equipment and invest in themselves.
For 2012, the Section 179 Deduction limit increased to $560,000 and the total amount of equipment that can be purchased increased to $2 million. This includes most new and used capital equipment, and also includes software.
The Section 179 website has a Section 179 Calculator and gives examples of how much you could save using Section 179:
In order to qualify for the Section 179 Deduction, the software must be purchased or leased and put into service by December 31, 2012.
To learn more about how you can benefit from Section 179 and purchase new software, contact your representative today.