MFS Lease:
Tax Tips
Unlock Major 2026 Tax Incentives on Machinery Purchases
Invest in yourself! Thanks to new legislation, manufacturers can take advantage of expanded write-offs on capital equipment purchases.
Section 179 Deduction - Up to $2.56 Million Write-Off
Under the One Big Beautiful Bill Act, the Section 179 deduction limit rises to $2,560,000, phasing out dollar-for-dollar beginning at $4,090,000 of total acquisitions up to $6,650,000.
For example, if a company acquires $5,000,000 in qualifying equipment, the write-off is limited to $2,560,000 - $1,000,000 = $1,560,000.
Qualifying property includes equipment that is new to the business, whether new or used, provided it meets the required business-use criteria.
100% Bonus Depreciation - Permanently Restored
Companies can write off 100% of the cost of qualified equipment in the year it's placed in service (after January 19, 2025). There is no cap on bonus depreciation, and it applies to equipment both new and used, so long as the property is new to the business.
Pay Yourself
Take advantage of these tax savings and choose to invest in yourself and your business.