2025 Section 179 Deduction Limit. The maximum section 179 expense deduction is $1,160,000. So if your business shows $5k of income and you want to take $26k 179 deduction like you mentioned above, the deduction would be limited to $5k.
There also needs to be sufficient business income during the year you plan. On the other hand, bonus depreciation has no limitations.
On The Other Hand, Bonus Depreciation Has No Limitations.
Learn how this tax deduction works and what change is in store for businesses in 2025.
What Is The Section 179 Limit For 2022?
The section 179 deduction limit for tax year 2023 is $1,160,000 with an investment limit of $2,890,000.
This Limit Is Reduced By The Amount By Which The Cost Of.
Section 179 allows a taxpayer to immediately expense the cost of qualifying property โ rather than recovering such costs through depreciation deductions.
Most New And Used Equipment, As Well As Some Software, Qualify For The Section 179 Deduction.