Section 179 Deduction
A message from Garrett Myers, KFS Program Manager
Now may be the time for your customer to purchase equipment and take advantage of the increased limits for Section 179 deduction benefit included in the Tax Cuts and Jobs Act.
Section 179 allows businesses to deduct the full cost of qualifying new and used equipment from their 2018 taxes, up to $1,000,000. The ability to take deductions under Section 179 now begins to phase out for total equipment purchases in excess of $2,500,000. The phase out is on a dollar-for-dollar basis once equipment purchases exceed $2,500,000. Equipment must be purchased and placed into service by December 31, 2018.
The Act also increases the benefit of bonus depreciation, allowing businesses of all sizes to deduct the full cost of qualifying new and used equipment acquired after September 27, 2017, and placed into service by December 31, 2022.
What This Means for Your Customers
- More economical to upgrade equipment
- Lower tax liability for the year conserves working capital for other immediate business needs
- Many leasing or financing options can be utilized while taking advantage of the tax incentives
The Smart Choice in Hydraulic Excavators
Kobelco Construction specializes in the production of compact, mid-size and full-size excavators ranging from 1.8 to 89 tons. The success of Kobelco excavators has been built on our dedication to total customer satisfaction. Backed by outstanding factory support and a network of nearly 200 North American dealers, customers count on Kobelco Construction for their competitive edge.
You no longer need to compromise on your equipment.
Through innovative design kobelco has created excavators which excel in raw power, operating efficiency, and operator safety, while minimizing environmental impact. Kobelco hydraulic excavators represent the pinnacle of heavy construction machinery.