For the 2026 tax year, businesses purchasing qualifying equipment can take advantage of Section 179 deductions and 100% bonus depreciation under the One Big Beautiful Bill Act — meaning you may be able to expense the full cost of your Auto Labe machine in year one. Here's what that looks like in practice:
📊 2026 Section 179 — Example Calculation
Equipment Price$50,000
First Year Write-Offs
Section 179 Deduction$50,000
100% Bonus Depreciation$0
Total Deduction in First Year$50,000
Tax Savings (at 21% rate)$10,500
Equipment Price After Tax Savings$39,500
Equipment must be purchased and placed in service by December 31, 2026 to qualify. Maximum Section 179 deduction is $2,560,000, with a phase-out beginning at $4,090,000 in total purchases.
Disclaimer: The tax information above is provided for general informational purposes only and does not constitute tax, legal, or financial advice. Tax laws and deduction limits are subject to change at any time. Auto Labe makes no guarantees regarding tax savings or eligibility. Please consult a qualified tax professional before making any purchasing decisions based on tax considerations.