The holidays usually signal the approach of the end of the financial year, leaving your budget tight and options somewhat limited. As you look at what’s left for 2016 it will be important to find creative ways to make your budget last.
The US government wants to help you make the most of your bottom line by approving a tax deduction on software purchases under Section 179. Companies around the United States are using the money that would have otherwise gone towards paying taxes and instead are applying it towards their software purchases, at no cost to them.
If you are considering purchasing nesting software before next tax season, now’s the time!
How It Works:
Let’s say “Customer A” spends $25,000 on SigmaNEST Software. With a 100% deduction in the first year, they could save $8,750.00 on that quoted price.
SigmaNEST already meets the following guidelines for the Section 170 deduction.
For basic eligibility, the software must meet all the following general specifications:
- The software must be financed (only specific types of leases or loans qualify), or purchased outright by you.
- The software must be used in your business for income-producing activity.
- The software must have a determinable useful life.
- The software must be expected to last more than one year.
In addition, these three specific stipulations must be met:
- The software must be readily available for purchase by the public.
- The software must be subject to a non-exclusive license.
- The software must not have been substantially modified.
Are you curious how much money the Section 179 deduction could save your shop? Calculate your deduction here.
Once you are aware of your tax deduction give us a call. We look forward to helping you increase your efficiency and make the most out of your tax deduction.
Talk to a sales representative today or schedule a demo here.