Bought new equipment or vehicles in 2025? Don’t leave money on the table!

As we move through Q2 of 2025, it’s an opportune time to assess your equipment and vehicle acquisitions to ensure you’re leveraging the most effective tax depreciation strategies.

Key Considerations:

If you’ve recently purchased or are planning to acquire assets such as construction vehicles, heavy machinery, or computer equipment, it’s crucial to decide between Section 179 expensing and bonus depreciation.

• Section 179 allows for 100% expensing of qualifying assets up to $1.25 million in 2025, with a phase-out beginning at $3.13 million in total purchases.
• Bonus depreciation permits a 40% immediate write-off for eligible assets placed in service during 2025.

Why This Matters:

Accelerating depreciation can significantly reduce your taxable income for 2025, thereby freeing up capital for other projects or investments.

Important Notes:

• Maintain detailed records of all assets placed in service, including dates, costs, and business use percentages.
• Be aware that some states may not fully conform to federal depreciation rules, which could affect your deductions.

Consult with your CPA to project your taxable income and determine the method that maximizes your write-offs without exceeding the applicable limits.

Feel free to reach out if you’d like to discuss this further or need assistance from our team.
Call us at (402) 932-8815 or complete our consultation form here.

Sincerely,
W. E. Stevens, P.C.