Current Section 179 and Bonus Depreciation Limits Expire December 31

Joe Kristan at the Tax Update Blog reminds small business owners that current Section 179 and bonus depreciation limits expire on December 31:

The last tax bill of 2011, the 2-month payroll tax cut extension, has no provision to extend the 2011 tax treatment for fixed assets. As things now stand, 100-percent bonus depreciation and the $500,000 Section 179 deduction limit go away after Saturday. Starting Sunday, January 1, taxpayers placing assets in service will have 50-percent bonus depreciation available. The maximum Section 179 deduction will fall to $139,000.

That means taxpayers dawdling on fixed asset decisions in hopes these provisions would be extended need to get busy.

Click here to read more of Joe’s story.