WARNING!!! Year-End Tax Savings for Purchasing Cleaning Equipment

Temporary Law Means HUGE Savings

The Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010 (TRJA) extended and expanded the depreciation bonus created in 2008.

For 2011, businesses that purchase qualified assets and put them in service by December 31, 2011 are eligible to receive an unprecedented 100 percent first year depreciation of the asset cost; for 2012, the depreciation allowance is expected to decrease to 50 percent.



What Kind of Savings?



Assume you buy and place in service in 2011 a new NSS Champ 2929 ride-on scrubber costing $15,641. Using bonus depreciation, you can “write off” the full amount this year, reducing your taxable income by $15,641. If you’re in the 35 percent tax bracket, that can reduce your 2011 tax bill by $5,474.



Things To Keep In Mind



Here are some important things to remember:

• To qualify for bonus depreciation, the equipment must be new.
• The equipment has to be placed in service in the year in which you claim the bonus (2011 for 100 percent and 2012 for 50 percent)
• The equipment must be depreciable under MACRS and have a depreciation recovery period of 20 years or less.

The Fine Print

This information should not be construed as tax advice or as a promise of potential tax savings or reduced tax liability. For complete information regarding the Bonus Depreciation bonus, contact your tax professional or log on to the following sites:

www.irs.gov
www.depreciationbonus.org
www.youtube.com/watch?v=zBpFyJVPTcE

 WAXIE – Your Source For Cleaning Equipment



WAXIE offers commercial floor cleaning equipment for a variety of applications. Contact our WAXIE Equipment Specialists at (800) 995-4466 to review your cleaning needs.
Schedule a demo today while you can still enjoy these savings in 2011!