Your small business needs new technology to remain competitive. The reality is, paying for new technology is definately not cheap. The good news is, small business owners are due a substantial tax break this year that might make it less difficult for you to update your business’s technology tools. The American Taxpayer Relief Act of 2012 includes with it a sizable tax break for companies that put money into new technology. Here’s a primer from BizTech Magazine about how exactly the tax break works and just how much cash it can save you.
An important tax break
The tech-spending tax break within the American Taxpayer Relief Act of 2012 is an important one. It enables businesses to write off up to $500,000 of technology and equipment purchases in 2013. That’s a large amount, and it might motivate more small business owners to spend money on new computers, energy efficient lighting, payroll software and analyzing tools. These new tech purchases might help these small business owners grow their bottom lines.
A 2012 boost, too
The American Taxpayer Relief Act also retroactively enables businesses to write off a greater amount of new tech and equipment expenditures from 2012. As outlined by BizTech Magazine, businesses can now deduct up to $500,000 of new tech and equipment purchases that they made last year. It is an boost from the prior limit of $139,000, and can provide an additional financial boost to business owners.
An important boost
The higher deduction limit will help small businesses succeed in what has turned out to be an ever more competitive business environment. One of the ways for businesses to give themselves an edge is by investing in the latest technology and equipment. The taxpayer relief act deduction give small business owners the chance to do this without spending quite as much of their hard-earned dollars to do so.
Curious about how to put these tax breaks to work for your small business? Ask your Fulcrum Group account manager today!