Do you have IT projects that are being held up by budgets?  Are you looking for ways to significantly reduce the costs of your current IT initiatives?  If so, this is the year to move forward with them!   There are special tax incentives that are currently in place this year that can immediately provide you with up to a 35% savings on ALL of your technology investments and free up much needed capital!  Here are some additional details:

Bonus Depreciation

The federal government has created special tax incentives to help your organization save money on your 2011 tax bills and free up cash now!  In 2011, Bonus Depreciation has been significantly increased to 100%.  This incentive allows corporations to deduct the ENTIRE amount of ALL qualified equipment purchases in the current year.  In addition, these deductions can create a net operating loss that can be carried back to prior years resulting in an immediate tax refund.  This incentive only applies to new equipment purchases and there is no limit to the amount of Bonus Depreciation that can be taken.

Why act now?

• 100% Bonus Depreciation can only be taken on new equipment that is put into service between September 9, 2010 and December 31, 2011.  In 2012, this tax incentive is scheduled to be reduced to 50%
• Use of this tax incentive creates immediate tax savings that can be used to significantly offset the costs of ALL qualified IT equipment purchases
• This tax incentive that allows you to immediately deduct 100% of the cost of qualified equipment purchases was previously only available to small business.  In 2011, this special tax incentive is temporarily available to any size organization
• Historically, small businesses were only allowed to take a 100% deduction on a very small percentage of their total qualified purchases. In 2011, ALL qualified equipment purchases can be deducted, regardless of dollar amount
• The time frame in which losses can be carried forwards or backwards has been significantly increased.

What’s next?

Have our in-house tax specialists analyze your 2011 and 2012 IT initiatives and show you how to best utilize  Bonus Depreciation to free up much needed capital and maximize your budgets this year.  Please click here to setup a meeting today!

Tax Disclaimer

The information contained herein should not be used in any actual transaction without the advice and guidance of a professional Tax Advisor who is familiar with all the relevant facts. The information contained here is General in nature and is not intended as legal, tax or investment advice. Furthermore, the information contained herein may not be applicable to or suitable for the individuals' specific circumstances or needs and may require consideration of other matters. 3GC Group assumes no obligation to inform any person of any changes in the tax law or other factors that coulffect the information contained herein.