2011 May be a Great Year to Purchase Tech
This year may be a great time for companies to invest in new technology equipment. A one-hundred percent bonus depreciation tax benefit was recently approved by Congress. The benefit allows companies to take the entire new product depreciation in the first year as opposed to over several.
The exact amount of the benefit is dependent on the type of business and the tax rate paid. There is not a limitation on the amount of equipment that can be depreciated, however the equipment must be new. This benefit can substantially lower the cost of new equipment and will no doubt spur tech buying this year.