Time is running out to take advantage of the 2008 Economic Stimulus Act which allows you to depreciate 50% of the cost for equipment purchased in 2008, and doubles the amount you can depreciate! No better time for purchasing that additional inkjet addressing printer, camera verification system, inserter, or whatever else you may need for your mailing center. Here's a quick example of how this stimulus package can benefit you if you purchase this year:
Equipment Cost of $700,000
Less: Section 179 ($250,000)*
*Section 179 Increased to $250,000 the expense that a small business can deduct from annual income with a total cap of $800,000
Less 50% Bonus Dep ($225,000)
Less 1st Year Dep ($45,000)
Remaining Balance of: $180,000
Total Day 1 Depreciation: $520,000
Equals 74.3% write off o purchase cost in 2008
The above numbers are for example only and may not apply to all businesses, so be sure you check with your tax accountant to see how you might qualify. Check out our website to decide which equipment to use this incentive on: www.addresserbasedsystems.com
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