End of Year Savings You Don’t Want to Miss
Is a self-propelled sprayer on your farm’s machinery shopping list this year? If that’s the case, a combination of year-end pricing and tax incentives means there’s no better time to buy than right now.
The Internal Revenue Service (IRS) is offering bonus depreciation for business-related expenses under Section 179 of the tax code. In the 11 years since its inception, Section 179 has helped businesses deduct the full purchase price of machinery, software and other business-related tools (up to a certain amount) from gross income. For farmers, it applies to common machinery and equipment they need for their operation, including self-propelled sprayers.
This year, Section 179 bonus depreciation will allow business owners to deduct 100% of the financed purchase price of related expenses up to $1 million. Section 179 depreciation is based on adjusted gross income.
“Essentially, Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying equipment and/or software purchased or financed during the tax year. That means that if you buy (or lease) a piece of qualifying equipment, you can deduct the full purchase price from your gross income,” according to Section179.org. “It’s an incentive created by the U.S. government to encourage businesses to buy equipment and invest in themselves.”
On top of Section 179 bonus depreciation, Apache Sprayers is offering a $5,000 bonus on any new 2019 AS1040 or AS1240 sprayer financed by the end of 2018. Put together with the Apache Sprayers $5,000 bonus, it can net considerable savings in the first year of a financing program.
Want to learn about all of the $5,000 cash-back offer details? Get started here.
