AED pledges to push for reinstatement of tax code measures
AED is pushing for two provisions in particular: a 50 percent bonus depreciation and higher Section 179 levels. Bonus depreciation allows businesses to write off up to 50 percent of the value of new assets in the first year based on a presumed loss of value over time. Section 179 allows business owners to deduct the value of financed or leased equipment.
Business are currently limited to a maximum deduction of $25,000. Both provisions, if reinstated or expanded, would have major tax implications for business owners working in the building trades.
Reinstating expired tax codes has been on the agenda for many members of Congress for most of this year. The Senate Finance Committee has approved a two-year extension of more than 50 expired tax programs, but it’s unclear if reinstating the tax provisions will be a priority for legislators before year’s end.
AED said its Washington office will continue to lobby Congress to reinstate the codes immediately and urged others engaged in the heavy equipment industry to contact their lawmakers to do the same.