Section 179: Write Off Your Equipment in 2026
Deduct up to $2,560,000 of equipment this year with the Section 179 deduction. Finance the equipment, keep your cash, and write off the full purchase price — but you must buy and place it in service before December 31.
What Is the Section 179 Deduction?
Section 179 of the IRS tax code lets your business deduct the full purchase price of qualifying equipment in the year you buy it, rather than writing off a small amount of depreciation each year over the life of the asset.
For 2026, businesses can deduct up to $2,560,000 in equipment purchases, with the deduction phasing out dollar-for-dollar once total equipment placed in service exceeds $4,090,000. On top of Section 179, 100% bonus depreciation is available on qualifying property, which many businesses use for spending beyond the Section 179 cap.
The powerful part for business owners: you can finance or lease the equipment — often with little or nothing down — and still deduct the entire purchase price this year. In many cases the first-year tax savings are larger than the payments you'll make in that same year.
Why Finance Equipment Under Section 179?
Financing plus Section 179 is one of the most tax-efficient ways to add equipment to your business.
Deduct the Full Purchase Price
Write off the entire cost of qualifying equipment in the year you buy it, instead of depreciating it slowly over many years.
Finance and Still Deduct
You can finance or lease equipment, put little to nothing down, and still deduct the full purchase price this year.
Keep Your Cash Working
Preserve working capital by financing the equipment while the tax savings often exceed your first-year payments.
New and Used Both Qualify
Section 179 applies to new and used equipment alike, as long as it's new to your business and used for work.
2026 Section 179 Savings Calculator
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*Estimates only, based on 2026 Section 179 figures (deduction limit $2,560,000, phase-out beginning at $4,090,000). Section 179 is limited to your taxable business income and equipment must be purchased and placed in service by December 31. This is not tax advice — consult a qualified tax professional and verify current limits for your situation.
What Equipment Qualifies?
Most tangible business equipment qualifies for Section 179, whether new or used, as long as it's used more than 50% for business.
The December 31 Deadline Matters
To claim Section 179 for the 2026 tax year, your equipment must be purchased and placed in service by December 31, 2026 — not just ordered. Financing can take a few days to approve and fund, and delivery adds more time, so the businesses that capture the deduction start early.
With approvals in as fast as 4 hours and same-day funding available, we help you move quickly enough to beat the deadline.
Finance Your Equipment Before Year-End
Get pre-qualified in minutes with no impact to your credit score. Lock in your equipment and your Section 179 deduction before December 31.
This page is for informational purposes only and is not tax advice. Consult a qualified tax professional about your specific situation and verify current Section 179 limits.