What impact did the Economic Stimulus Act of 2008 have on the Section 179 Deduction?
The ‘Economic Stimulus Act of 2008’ generously increased the limits of the Section 179 Deduction. The previous limits were $125,000 for the deduction and the total amount of equipment purchased or leased for the year had to be less then $500,000. The Stimulus Act of 2008 increased the deduction limit to $250,000, and now the total equipment purchased or leased needs to be less then $800,000. It also added a one-time “bonus depreciation” on equipment that exceeded the $250,000 deduction limit. See this page for the details regarding ‘Section 179 and the Economic Stimulus Act of 2008’.
The ‘Economic Stimulus Act of 2008’ generously increased the limits of the Section 179 Deduction. The previous limits were $125,000 for the deduction and the total amount of equipment purchased or leased for the year had to be less then $500,000. The Stimulus Act of 2008 doubled the available deduction to $250,000, and the total equipment purchased or leased only needed to be less then $800,000. It also added a one-time “bonus depreciation” on equipment that exceeded the $250,000 deduction limit.
