Section 179 Deduction
Also called: section 179, immediate expensing, bonus depreciation
Section 179 lets a business deduct the full cost of qualifying equipment in the year it's placed in service, rather than depreciating it over years. The total tax paid over the asset's life is unchanged — this is timing, not magic — but the cash-flow benefit is real and the deduction is capped annually. Bonus depreciation works similarly with different limits, and the two are often combined.