As the year is halfway over, businesses are presented with a unique opportunity to optimize their financial landscape and set the stage for growth in the upcoming year. Kentucky Cleaning Solutions, a nationwide distributor of commercial cleaning supplies and equipment, unveils a comprehensive Tax Hack designed to propel businesses into 2025 with strategic planning. Let’s delve into the two easy steps that can make a significant impact on your bottom line.
Step 1: Buy Equipment Now to Save on Taxes
One of the cornerstones of this tax-saving strategy revolves around Section 179 of the Corporate Tax Code. The section 179 tax deduction is an immediate expense deduction that business owners can take for business equipment purchases instead of capitalizing and depreciating the asset over time. Basically, the provision stipulates that businesses can deduct 100% of the purchase price of equipment if acquired before the year-end. Qualifying purchases include those related to depreciable assets such as commercial cleaning equipment, vehicles, and software would be applicable to Section 179 tax relief.
The maximum deduction is $1,220,000 for the 2024 tax year. However, it’s crucial to consult a tax professional to ensure compliance with regulations and maximize the benefits.
This tactical move not only translates into immediate tax savings but also positions your business for enhanced profitability in the upcoming fiscal year. By taking advantage of this tax incentive, you not only reduce your taxable income for 2024 but also fortify your business for sustained growth.
Kentucky Cleaning Solutions has a wide range of janitorial equipment that you can apply to Section 179. Shop equipment here – free shipping included on all machines – or give us a call if you have questions.
Step 2: Finance Your Equipment Purchase
Managing cash flow is pivotal for businesses. To facilitate this, financing equipment purchases can be a strategic move. By opting for affordable monthly payments, businesses can conserve capital while still acquiring the necessary assets for operations.
The key lies in the transformative nature of the investment. If the new equipment generates more monthly revenue than the associated expense, it becomes an immediate and sustainable profit driver. This approach ensures that the acquisition of equipment is not just an expenditure but a calculated investment that contributes to the overall financial health of the business.
And the best part is, the section 179 tax deduction can be taken for the full price regardless of if the piece of equipment is purchased or financed.
At Kentucky Cleaning Solutions, we partner with Approve to provide you access to an extensive network of the nation’s top lenders. With our easy online calculator tool, you can build out a finance application. Get the highest approval chances, the lowest finance rates, and side-by-side offers for easy comparison.
Seize the Opportunity – Take Advantage of Section 179 Today
Now is the time to capitalize on this strategic tax hack. If your company envisions growth through the acquisition of new cleaning equipment, reach out to Kentucky Cleaning Solutions to discuss your specific equipment and financing needs. By aligning with this Section 179 Tax Hack, businesses can navigate the year-end with financial dexterity, positioning themselves for a prosperous and growth-oriented 2025.