If you’re considering upgrading your office technology, production equipment, security systems, or other business assets, Section 179 can make those investments even more cost-effective.
What’s New for 2025?
For the 2025 tax year, the IRS has set the following limits:
- Maximum Section 179 deduction: $2,500,000
- Phase-out threshold: $4,000,000 in total qualifying equipment purchases
- Equipment must be purchased and placed in service by: December 31, 2025
These limits apply to both new and used equipment, as long as it is purchased (not leased under certain structures) and placed into service within the tax year.
What Types of Equipment Qualify?
Many of the solutions businesses invest in through Higher Information Group fall under Section 179 eligibility, including:
- Multifunction printers and copiers
- Production print equipment
- Wide-format printers
- Scanners and document conversion equipment
- Phone systems and certain networking equipment
- Security technologies such as surveillance cameras and access control
Business vehicles and certain software solutions may also qualify. A tax professional can help you verify eligibility based on your specific situation.
Why Section 179 Matters
Section 179 gives businesses the ability to:
- Lower taxable income in the current year
- Improve cash flow
- Invest strategically in tools and technology that support efficiency and growth
- Accelerate modernization without waiting for multi-year depreciation schedules
This is especially helpful for organizations planning office upgrades, expanding production capabilities, or improving security and workflow infrastructure.
A Quick Note for Pennsylvania and New York Businesses
Your federal Section 179 deduction follows the limits listed above.
However, each state can choose whether to match federal rules:
- Pennsylvania generally conforms to the enhanced federal Section 179 limits.
- New York also allows Section 179 but may treat certain assets, such as SUVs or bonus depreciation, differently.
Your tax advisor can guide you on exactly how Section 179 and bonus depreciation apply to your state return, especially if you operate in multiple states.
Make the Most of Year-End Planning
If you’re thinking about equipment upgrades for 2025, now is the right time to evaluate needs and explore options. The sooner your equipment is in place, the sooner you can put it to work, and the more likely you are to take advantage of this year’s tax benefits.
Our team is here to help you compare products, understand workflow impacts, and choose solutions that set your organization up for success.
Have questions or want to talk through options?
Reach out to our team, we’re always here to help you make smart, efficient decisions for your business.
