Section 179 24'
American Mortuary Coolers is committed to providing essential support to funeral homes, mortuaries, and medical facilities by offering a range of cost-effective mortuary and funeral supplies. One significant financial advantage available to these entities is the Section 179 deduction, which allows for substantial tax savings on qualifying equipment purchases.
The Section 179 deduction enables businesses to deduct the full purchase price of qualifying equipment from their gross income, thereby reducing their taxable income. This deduction is particularly beneficial for funeral service providers looking to invest in new or used mortuary equipment, as it can significantly lower the overall cost of acquisition.
For the tax year 2024, the Section 179 deduction limit has been set at $1,220,000. This is an increase from the previous year's limit of $1,160,000. Additionally, the capital purchase threshold has also risen, now standing at $3,050,000, compared to the 2023 threshold of $2,890,000. This increase reflects a broader recognition of the importance of capital investments in the funeral service industry.
It is important to note that the definition of qualifying equipment has expanded in recent years. This means that both new and used items can qualify for the deduction, making it easier for funeral homes and mortuaries to take advantage of this tax benefit. The expanded definition will remain in effect through 2024, allowing businesses ample opportunity to plan their equipment purchases strategically.
In addition to the Section 179 deduction, businesses may also benefit from bonus depreciation. This allows for an additional deduction on the purchase of qualifying equipment, further enhancing the financial advantages of investing in necessary mortuary supplies. However, it is essential to consult with a tax professional to understand the specific implications and benefits of bonus depreciation in conjunction with Section 179 deductions.
In conclusion, the Section 179 deduction presents a valuable opportunity for funeral homes, mortuaries, and medical facilities to invest in essential equipment while enjoying significant tax savings. With the increased deduction limits for 2024 and the expanded definition of qualifying equipment, now is an opportune time for businesses in the funeral service industry to consider upgrading their mortuary supplies and equipment.