Jan 4, 2022 – The Section 179 deduction for 2022 is $1,080,000 (up from $1,050,000 in 2021). This means U.S. companies can deduct the full price of qualified equipment purchases, up to $1,080,000, with a “total equipment purchase” limit of $2.7 million (up from $2.62 million in 2021). The deduction includes both new and used qualified equipment.

In addition, businesses can take advantage of 100% bonus depreciation on both new and used equipment for the entirety of 2022. Remember to keep supply chain issues and delivery times in mind when making your Section 179 purchases for 2022.

Please see our fully updated 2022 Section 179 Calculator to see how the Section 179 tax deduction can benefit your company in 2022.