Last Updated: September 2026
Last Updated: September 2026
Maximizing your tax benefits for business investments
As a small or medium-sized business owner, you’re likely familiar with the significant costs associated with acquiring equipment. However, there’s a silver lining: Section 179, where tax deductions can offset some of the equipment expenses.
What is Section 179?
Section 179 is a tax incentive that was implemented by the United States government to encourage businesses to invest in equipment and themselves.
This provision from the (IRS) tax code allows small and medium-sized enterprises to deduct the entire cost of eligible equipment that was acquired or financed during the current tax year. If a business purchases a qualifying piece of equipment, they can deduct the full purchase price from their gross income.
By allowing them to deduct the full cost of eligible equipment (including heavy machinery, vehicles, computers/software, and furniture), the government aims to stimulate business growth, capital investment, and overall economic activity.
The Section 179 Timeline
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Purchase Qualifying Equipment
Purchase or finance equipment that meets Section 179 eligibility requirements.
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Place It in
ServiceThe equipment must be ready and available for business use during the applicable tax year.
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Elect
Section 179Elect the Section 179 deduction when filing your business's federal tax return.
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Deduct Eligible
CostsDeduct eligible equipment costs, subject to Section 179 limits and applicable requirements.
Putting Section 179 To Use
You don’t have to pay cash to take advantage of Section 179. In many cases, financed equipment can still qualify, giving the flexibility to preserve working capital while investing in the tools your business needs.
Use Section 179 to Finance:
Business Machinery
Trucks Over 6,000 lbs
Office Equipment
And Much More!
Helpful Tools, Insights, and Videos
With the help of our finance professionals, we’ve created tools and resources so that you can learn more about Section 179, estimate tax savings, and how equipment financing can help your business grow.
to Section 179?
Section 179 can help businesses manage their tax liability while using potential tax savings to help fund new equipment purchases.
Qualifying Section 179 property can include business machinery, computers, office furniture, some equipment used in or around a business facility, as well as certain work vehicles and trucks.
Section 179 can allow businesses to deduct the cost of qualifying equipment in the year it is placed in service, potentially reducing their tax liability and freeing up cash to reinvest in additional equipment.
OCS recommends:
Talk to Your Tax Advisor
Your accountant or tax advisor can clarify if any equipment purchased in 2026 is applicable and estimate the amount of your deduction.
Contact OCS
Our finance professionals are a terrific resource for you and any questions you have to help finance equipment before the end of 2026!
Apply and Get Pre-Approved
Our pre-approvals are good for 90 days and provide peace of mind when equipment shopping.
Purchase by December 31, 2026
Be sure to finance heavy machinery, trucks over 6,000 pounds, and office equipment before the end of the year.
Disclaimer: Consult with your accountant or tax advisor to weigh the pros and cons of taking this
deduction to determine if it will positively benefit your business. OCS does not offer tax advice.
