Capital Equipment Tax Credit Raised!

[APEX_Brewing_Supply]

Talk to your accountant tomorrow! The Capital Equipment (Fermenters, Brite Tanks, Brewhouses, Etc...) Tax Credit has been raised as of 2 days ago from $25,000 to $500,000! That's a serious big deal, you need the equipment now to take advantage of the credit on this years taxes. If you had planned on buying in January don't, buy it now for the tax credit, it could reduce the cost by as much as 25%!

[idylldon]

Can you point us to the info on a government site? I'd like to pass this along to our accountant but couldn't find it via Google.

Cheers,
--
Don

[APEX_Brewing_Supply]

Hey Don, my accountant told me about it and directed me to the budget that passed last week. It was an rider that had been added at the last minute for the last few years so accountants look for it. It was previously $25k and now $500K. Your accountant should be able to verify it easily.

[idylldon]

OK. Thanks!

Cheers,
--
Don

[wlw33]

Does this credit carry over for next year? Or is it only for 2015?

[mwakefield]

This is not a tax credit. It is called a Section 179 deduction, and it allows you to expense capital purchases, up to $500,000 in the year of purchase, instead of depreciating out over 5 or 7 years. It was made permanent for 2015 and moving forward. Look up Section 179 deduction to see the rules regarding this deduction.


Cheers,

Matt

[Brewfist]

This is great information. You might need a sales receipt dated pre 12/31/15 to take advantage THIS tax year, otherwise you will take advantage next year, or the next...

[APEX_Brewing_Supply]

Thanks for filling in the blanks guys, I am not an accountant but I know a good thing when I see one