Bonus Depreciation and Other Year-End Tax-Saving Tools for Businesses

Here’s a look at a tax-saving tool: bonus depreciation.

Assets Eligible for Bonus Depreciation

First-year bonus depreciation has been given new life under the legislation commonly known as the “One Big Beautiful Bill Act" (OBBBA). It had been scheduled to be only 40% for 2025 (60% for certain long-production assets) and to vanish after 2026. The OBBBA permanently reinstates 100% bonus depreciation for eligible assets acquired and placed in service after January 19, 2025. Acquiring eligible assets and placing them in service by Dec. 31, 2025, could significantly reduce your 2025 tax liability.

Eligible assets include most depreciable personal property, such as:

• Equipment,
• Commercial property,
• Computer hardware and peripherals,
• Certain vehicles, and
• Commercially available software.

Too much to know? Use the free online calculator that asks 3 simple questions to  see your benefits then activate them immediately or show it to your CPA today!!