Over 80% of SBOs that responded to our survey plan to opt for the Section 179 tax deduction
COSTA MESA, Calif. (PRWEB)
December 21, 2021
The results of a national survey conducted by Balboa Capital, a leading business lender specializing in equipment finance and small business loans, show that 82% of small business owners (“SBOs”) plan to use Section 179 of the Internal Revenue Code to deduct the cost of qualifying equipment purchased or funded in 2021. Balboa Capital’s Section 179 survey was sent to a sample of SBOs across various industries during the first week of December 2021.
“Section 179 offers welcome tax relief to qualifying small businesses that invest in qualifying equipment, and our survey results show that a significant number of SBOs are taking advantage,” said Kevin Umeda, head of planning and management. coordinating sales at Balboa Capital. . “Over 80% of SBOs that responded to our survey plan to opt for the Section 179 tax deduction.”
Umeda added that small business owners who are considering purchasing capital goods still have time to do so. “2021 is drawing to a close, but Balboa Capital is well positioned to help qualifying SBOs realize the benefits of Section 179. We offer on-demand financing only for physical guarantees up to $ 500,000, with deadlines fast execution. This means SBOs may be able to fund equipment, machinery, vehicles, software, technology, and other qualifying expenses before this year’s Section 179 deadline of December 31. “
The results of Balboa Capital’s 2021 Section 179 survey include the following:
- When asked how familiar they are with the Section 179 tax deduction, 17% of SBOs responded “very familiar” and 42% responded “somewhat familiar”.
- 82% of SBOs plan to use Section 179 to deduct the cost of qualifying professional equipment that was purchased or funded in 2021.
- 42% of SBOs are aware of the first year premium amortization provision in Article 179.
- 54% of SBOs plan to use the first year bonus amortization provision for qualifying equipment purchased or funded in 2020.
- Commercial vehicles top the list of equipment SBOs purchased or funded in 2021, followed by computers, software, heavy equipment, office equipment, office furniture, printing equipment and machines.
- One in three SBOs said they would have bought or funded more equipment in 2021 had they known the Section 179 tax deduction limit was $ 1 million.
- 13% of SBOs did not buy or finance any commercial equipment in 2021.
- 8 out of 10 SBOs plan to invest in new or improved equipment in the first quarter of 2022.
Interested SBOs are encouraged to discuss with their tax and accounting professionals how they might benefit from the Section 179 deduction. This release is not intended to constitute and does not constitute tax advice or accounting.
About Balboa Capital
Balboa Capital, a division of Ameris Bank, is a technology-driven business lender that provides business owners with quick, hassle-free financing options for small businesses to fuel their growth and success. The company specializes in small business loans, equipment finance, trade finance, equipment supplier finance and franchise finance. Balboa Capital has developed an intuitive online platform that simplifies the entire financing process. Calculators provide instant estimates, claims can be completed and submitted in minutes, and sophisticated credit scoring technology provides instant decisions. To learn more, visit https://www.balboacapital.com/.
About Ameris Bank
Ameris Bank manages over $ 22 billion in assets and over 200 financial centers in the South East. Atlanta-based Ameris Bank is deeply committed to bringing financial peace of mind to the communities it serves. A subsidiary of Ameris Bancorp (NASDAQ: ABCB), Ameris Bank offers a full range of financial services, including traditional banking and credit products, cash and treasury management, wealth management, insurance premium financing. and mortgage and refinancing solutions. Learn more about Ameris Bank and its full range of financial services at http://www.amerisbank.com.
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