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Rubric Financial

Tax

Section 179 Expensing

A tax election to immediately expense the full cost of qualifying equipment in the year placed in service.

Section 179 lets businesses deduct up to ~$1.16M (2024) of qualifying property purchases in the year of acquisition rather than depreciating over years. The deduction phases out as total purchases exceed ~$2.9M.

Section 179 cannot create a loss — it's limited to the business's net income. Excess flips to bonus depreciation or regular MACRS.

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