Using the accelerated depreciation expense allowed under IRS Section 179 can dramatically lower the after tax cost of an equipment acquisition. In 2010, up to $134,000 of equipment cost to be expensed in the year it is acquired. This results in an immediate tax savings for the business.**

Immediate Savings
By allowing an immediate deduction as a business expense, your business receives immediate tax savings - instead of slowly deducting the property over 5 or 10 years.

For example, let's say you acquired (acquisition by lease purchase qualifies) $50,000 of equipment. Your immediate expense deduction is $50,000 (compared to the standard MACRS of $15,000) representing an increased first year tax deduction of $35,000. This results in a tax savings of $12,250!! (Assumes a 35% tax bracket)

Check out our Tax Lease Savings Calculator.