Equipment Leasing & Section 179

Turn equipment purchases into massive tax deductions.

Whether you're buying trucks, machinery, or medical equipment, the right structure can write off the full cost in Year 1.

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10 minutes. No obligation.

This is for you if:

You're planning to buy or lease equipment for your business
You want to write off the full purchase price in the year you buy it
You're not sure if Section 179 or bonus depreciation is better for your situation
You want to structure the purchase through the right entity to maximize deductions
You're considering an equipment lease and want to understand the tax implications

What It Actually Means

Section 179 lets you deduct the full cost of qualifying equipment in the year you put it in service, up to $1,220,000 in 2025. Bonus depreciation under OBBBA adds another layer: 100% of the cost, permanently, with no cap. The key is structuring the purchase through the right entity so the deduction lands where it saves you the most.

How it works

Three steps. No complexity. We handle the structuring so you get the maximum deduction.

Tell us what you're buying

Equipment type, cost, and when you plan to purchase. That's all we need.

We model the tax impact

You get a clear comparison: buy vs lease, Section 179 vs bonus depreciation, which entity should hold it.

You save on day one

We handle the structuring and the filing so the deduction hits your return immediately.

Frequently Asked Questions

Can I deduct equipment purchases in the first year?

Generally yes. Bonus depreciation permits a 100% first-year deduction on property with a recovery period of 20 years or less, and Section 179 permits expensing up to an annual cap subject to a purchase phase-out and a taxable income limitation.

Is leasing or buying equipment better for taxes?

It depends on the lease structure. A capital or finance lease is treated as a purchase, generating depreciation and interest deductions. A true operating lease produces deductible rent instead. The tax result follows the substance of the arrangement, not its label.

What is the mid-quarter convention?

If more than 40% of the total basis of personal property placed in service during the year falls in the fourth quarter, the mid-quarter convention replaces the half-year convention for every asset placed in service that year, reducing first-year deductions on assets bought earlier.

What happens if business use of equipment drops?

For Section 179 property, if business use falls to 50% or less before the end of the recovery period, the excess benefit is recaptured as ordinary income in that year. Bonus depreciation has no comparable business-use recapture rule during the holding period.