News | November 09, 2006

Acquisition of Medical Equipment Before Year End Results in Tax Break

With this year's $108,000 Section 179 limit, medical purchases completed before Dec. 31, 2006 can count as eligible equipment acquisitions in this fiscal year.
In order to stimulate economic growth, the Internal Revenue Service Section 179 states: "You may elect to expense part or all of the cost of Section 179 property that you placed in service during the tax year and used predominately (more than 50 percent) in your trade or business."
Before 2003, Section 179 deductions for each piece of equipment were limited to $25,000. With the Jobs and Growth Act of 2003, the Section 179 small-business expensing limits increased to $100,000. For this year, the amount is up to $108,000, but the items must be in use by year-end. The expensing-limit increase will expire and return to its previous level of $25,000 after 2007 if there is no additional action by Congress.
Eligible business purchases include:
Medical equipment of all types, electronics and other (i.e. IPL, lasers, computers)
Software
Furnishings (i.e. treatment tables, chairs, cabinets)
Ineligible purchases include:
Real estate & Investment property
Property of all types held in trust or estates (including equipment, machinery, etc.)
Detailed information on Section 179 deductions can be found on the IRS Web site with "Publication 946, How To Depreciate Property

Related Content

Novarad No. 1 in Customer Satisfaction on Gartner Peer Insights VNA Category
News | Vendor Neutral Archive (VNA) | September 04, 2018
Novarad Healthcare Enterprise Imaging has taken the highest rated spot on Gartner’s Peer Insights technology review...
Greenville Health System Adopts Agfa HealthCare Enterprise Imaging System
News | Enterprise Imaging | August 31, 2018
Agfa HealthCare and Greenville Health System (GHS), South Carolina, announced the successful implementation of a...
Visage Signs Mercy for Visage 7 Open Archive
News | Enterprise Imaging | August 09, 2018
Visage Imaging Inc. announced that it has signed a seven-year contract with Mercy, the fifth largest Catholic health...
Children's Hospital Colorado to Manage Medical Images Via the Cloud With Nucleus.io Platform
News | Remote Viewing Systems | July 30, 2018
NucleusHealth and Children’s Hospital Colorado’s (Children’s Colorado) Center for Innovation have formed a strategic...
Developing a “cloud-first” strategy has helped with efficiency and cost savings
Feature | Archive Cloud Storage | July 05, 2018 | By Greg Freiherr
The need to protect patient images and other clinical data from disasters is increasing, just as doing so is getting...
Carestream Exceeds 26 Billion Images Managed in Vue Cloud Platform
News | Archive Cloud Storage | March 09, 2018
Carestream Health’s Vue Cloud, a healthcare imaging cloud service based on the Carestream Clinical Collaboration...
Logicalis White Paper Aims to Optimize Every Healthcare IT Dollar
News | Information Technology | February 20, 2018
February 20, 2018 – Digital transformation is happening in all industries, and it will happen in healthcare whether h
AI Visualize Inc. Debuts Artificial Intelligence Cloud Image Visualization Platform at RSNA 2017
Technology | Remote Viewing Systems | December 13, 2017
AI Visualize Inc. debuted its new cloud-based artificial intelligence (A.I.) -based image analysis and viewing platform...
Ambra Health Rolls Out New Features for Medical Image Exchange Platform
News | Vendor Neutral Archive (VNA) | November 20, 2017
Ambra Health announced that Atrius Health and Envision Radiology are among the latest leading providers to adopt Ambra...
Intelerad Unveils Imaging Infrastructure-as-a-Service Platform
Technology | PACS Accessories | November 07, 2017
November 7, 2017 — Intelerad Medical Systems recently announced the expansion of its cloud-based solution suite.