Buying screen printing machines can come at a hefty cost, but don't break the bank. There are ways to finance your purchase and recieve tax breaks, such as section 179 tax break. Find out how you can save money and still purchase your equipment.
What is Section 179?
Section 179 is a great way to accelerate your tax benefits. Under Section 179, you can expense 100% of the cost of screen printing equipment and digital machines acquired this year up to $500,000 (previously $250,000). Depending on your tax bracket, you can save a portion of that equipment cost in tax savings. To take advantage of Section 179, we can structure your lease with a PUT (Purchase Upon Termination) option at the end of the term, such as $1, or a larger pre-defined amount such as 10% or 20%. At the end of term, equipment must be purchased or the lease renewed to be eligible for this deduction (equipment cannot be returned).
Here is an Example: $45,000 worth of equipment:
60 month lease with FMV 10% purchase option - $985/month
Amount deducted under Section 179 - $45,000
Projected 2012 tax savings (assuming 35% tax bracket) - $15,750.00
All you need to do to get started is fill out the online form here.
* All examples provided are for illustrative purposes only. Actual numbers will vary based on credit & individual financial situations. Geneva Capital LLC recommends each customer review their own unique situation with their tax advisor. All transactions are subject to equipment & credit approval.