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2009 Economic Stimulus Act

April 9, 2009

Lévis, Québec, April, 10, 2009 - By purchasing new production equipment, such as a Handyscan 3D scanner or HandyPROBE CMM from Creaform, your company could save thousands off their 2009 tax bill.  This program is an extension of the program that was in effect through the end of 2008. If you missed your opportunity last year, its your chance to take advantage of the section 179 tax incentive program.   

Thanks to the 2009 Economic Stimulus Act the deduction amounts have almost doubled. For 2009, a business can now deduct up to $250,000 of the cost of qualified equipment purchased in 2009 from their taxable income. If the cost of qualified equipment purchased during 2009 exceeds $800,000 this amount is reduced.  This $250,000 deduction is phased out on a dollar-for-dollar basis on an equipment purchase between $800,000 and $1,050,000.

In addition to the above expensing election the Economic Stimulus Act also allows for a special 50% bonus depreciation on certain assets placed in service before December 31, 2009. In order to be eligible for this bonus depreciation the assets' original use must occur during 2009.  For example, if you are purchasing $300,000 worth of equipment, you would get an extra $25,000 depreciation.

After reducing the basis of the assets placed in service during 2009 by the above amounts claimed, companies can take the standard depreciation on the adjusted basis of qualified equipment. CMM equipment is  typically depreciated over 7 years.  (None of this information is intended to be tax or legal advice, consult your tax professional to see if you qualify). 

Click here to calculate how much you could save on taxes with your qualified equipment purchase!