Follow Drew Linkedin Twitter Facebook
Email Drew Email
Technology
Dec 3, 2020

How Investing In Office Technology Can Save You In Taxes

Sponsored Content provided by Drew Smith - Director of Communications, Copiers Plus

When making business decisions, you often will weigh several options before making an investment of nominal value. One of those considerations is often tax related. It is no different when deciding on office technology for your workplace. One way to take advantage of tax advantages through office technology purchases is through the Section 179 deduction.
 
What is it?
 
Section 179 is a deduction the IRS allows businesses, through IRS form 4562, to acquire business-use assets that include equipment and off the shelf (not custom developed) software and deduct the entire cost in a single year. The full expense is recorded for the year the assets were put into service and replaces the standard depreciation schedule of the asset(s).
 
How it can save you money.

The Section 179 total is taken off of your income for the given year and therefore reduces the costs of the assets you acquire in relation to your tax bracket. So, let’s take the small business tax rate for C-Corporations in 2020, 21 percent, to examine potential savings from using Section 179. If the cost of your assets is $25,000 you would essentially only be paying $19,750 due to saving $5,250 by the cost being taken from your income for that year. The limit for the deduction is a whopping $1,040,000 for 2020.
 
What about leasing?
 
You can take advantage of leasing and financing options through Section 179, there will just need to be an expectation of ownership taking place at the end of the specified term. When using leasing or financing with Section 179 the entire cost of the agreement is included for the year the assets were put to work in, not just the monthly payments in that year.
 
What office technology it can include.
 
Any piece of office equipment or computer is eligible whether new or used, it just has to be new to your organization. Typically, in terms of software, it needs to be off-the-shelf and not written/highly customized for your organization, have a useful life that can be determined and exceeds one year, and contribute to income-producing activity for your business, to be applicable to Section 179. It is always a good idea to check with your tax professional to ensure the proper requirements are adhered to before making decisions regarding influential tax outcomes for your organization.
 
At Copiers Plus, we always seek to find intuitive ways to bring our clients affordable options to modernize their workplace in terms of office technology. If you would like to learn more about how your organization can take advantage of Section 179 and improve productivity and security protocols across all departments, give us a call at 800-648-7081 or visit us online to schedule a complimentary analysis with one of our representatives. Don’t miss out on the savings 2020 can bring!


Drew Smith currently serves as Director of Communications for Copiers Plus. The company specializes in modernizing office equipment and increasing efficiencies in workplace communications throughout the state of North Carolina. To learn more about how Copiers Plus is providing their customers with innovative document solutions and enhanced printing transparency, visit www.copiers-plus.com. Drew would love to hear from you at [email protected].

Other Posts from Drew Smith

Copierspluslogo 392022153
Ico insights

INSIGHTS

SPONSORS' CONTENT
Drewsmith copiersplus headshot

A Little More Communication, A Lot More Cohesion

Drew Smith - Copiers Plus
Jessiepowellheadshot webversion

5 Reasons to Build Custom Franchise Software

Jessie Powell - Wide Open Tech
Burrus rob headshot 300x300

Addressing Real-World Fiscal Issues: UNCW College Fed Challenge Team Takes Second Place

Robert Burrus - Cameron School of Business - UNC-Wilmington

Trending News

Law Firm Relocates From Downtown To Autumn Hall

Staff Reports - Jan 31, 2023

Aiming To Possibly Revive Project Grace, Firm Seeks Business, Community Support

Cece Nunn - Jan 31, 2023

Stone Distributor Slated To Purchase Land In County Business Park

Johanna F. Still - Feb 1, 2023

Rangers Minor League At Play: Will Leland Win Where Wilmington Struck Out?

Johanna F. Still - Feb 2, 2023

At Riverlights, Independent And Assisted Living Development On The Way

Cece Nunn - Feb 2, 2023

In The Current Issue

Funding The Fight: Local Governments Put Opioid Settlement Dollars To Use

In Southeastern North Carolina, officials in New Hanover County, the city of Wilmington and Brunswick and Pender counties are starting to ma...


Longtime Bowling Center Stays In Fast Lane

Winter is bowling’s peak season in Wilmington, where it's tough for indoor venues to compete with the beach during the summer....


Employers Connect With Middle Schoolers

Developed by the Wilmington Chamber of Commerce, the Career and Leadership Development Academy will graduate 42 students in its inaugural cl...

Book On Business

The 2023 WilmingtonBiz: Book on Business is an annual publication showcasing the Wilmington region as a center of business.

Order Your Copy Today!


Galleries

Videos

2022 Power Breakfast: Wilmington's Most Intriguing People - Spence Broadhurst & Hannah Gage
2022 Power Breakfast: Wilmington's Most Intriguing People - George Taylor
2022 Power Breakfast: Wilmington's Most Intriguing People - Mike Ford
2022 Power Breakfast: Wilmington's Most Intriguing People - Meaghan Dennison
2022 Power Breakfast: Wilmington's Most Intriguing People - Rhonda Bellamy