U.S. House and Senate Pass Section 179 Legislation
The U.S. House of Representatives and Senate have approved a tax extender bill that makes Section 179 expensing limits of $500,000 permanent.
We polled dealers (below) asking them what sort of impact the passage of Section 179 legislation would have on their business. 37% said if passed it would have a great impact on their 2015 sales, while 33% said it’s too little too late. Another 23% said it would have a small impact on their 2015 sales.
Another aspect of the bill should have a nice impact on dealers beyond equipment sales.
The Farm Equipment Manufacturers Association said in a statement that equipment dealers should be pleased with a provision that allows retailers to depreciate remodeling and other improvements to their stores over 15 years rather than the previous standard of 39 years.
The White House has indicated support for the measure and it is likely President Obama will sign the bill.
We’ll provide additional updates on the extension of Section 179 and Bonus Depreciation as we learn more.
Dealer Poll
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