A Quick Reminder Section 179 Federal Tax Code Expiring

Remember that Section 179 of the Federal Tax Code will be expiring on December 31, 2012. So if you’ve been considering purchasing a CTP system or other equipment for your business this may be the year to do it as there is no indication that this will be extended in 2013.

Section 179 states that any business in 2012 that has less than $500,000 in taxable income can write off 100% of their new or used equipment purchase with Commercial Finance Agreements.

This gives you the ability to finance a platesetter, imagesetter or other equipment that you need and realize significant tax saving by buying before the end of 2012.

Here is an example of the tax savings that are possible. If you are showing a $100,000 profit for 2012, your corporate taxes will be 35% or $35,000, if you purchase a $50,000 platesetter, your taxable income will now be $50,000, your corporate tax rate will now be 25% or $12,500, that is a tax saving of $22,500. Another way of looking at it is that the $50,000 platesetter you purchased actually only cost you $27,500.

We at DEI Systems specialize in reconditioned Screen platesetters, reconditioned ECRM platesetters and imagesetters, and new and reconditioned Glunz-Jensen iCTP Platewriters. Visit our website or call us for pricing and availability on the equipment you need and let us save you money on equipment and taxes.