Many small business owners are breathing easier now that new legislation makes it clear how much they can deduct for 2015 purchases such as computers, furniture, vehicles, and machines under the popular Section 179 deduction.
Many small business owners had been anxiously waiting last week to find out if the tax extenders package in Congress—which President Obama signed on Dec. 18—would raise the fiscal 2015 cap for the Section 179 deduction from the existing $25,000 to the $500,000 level it was at from 2010 to 2014. It did, according to TIME.
The bigger deduction, aimed at stimulating the economy, covers computers, furniture, vehicles and machinery. Under the provision, small business owners can deduct the full purchase price in the year they bought it.
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