If you’re planning to invest in new equipment in 2025, the recently passed “Big Beautiful Bill” offers a major financial advantage: your company can immediately deduct the entire cost of qualifying equipment from taxable income in the first year.

What It Means

Normally, equipment costs are deducted gradually over
several years using MACRS (Modified Accelerated Cost Recovery System) depreciation.
With 100% bonus depreciation, you can write off the full purchase
price right away, improving cash flow and speeding up your return on
investment.

Example

Equipment Cost: $250,000

• Standard MACRS (Year 1): ~$35,725 deduction → $7,502 tax savings
• 100% Bonus Depreciation: $250,000 deduction → $52,500 tax savings
• Additional First-Year Savings: $44,998

That’s cash you can immediately reinvest in operations, payroll, or facility upgrades.

Why It Matters

The new tax rules restore immediate expensing for U.S. R&D and expand deductions for equipment and facility improvements—including cleanrooms and specialized manufacturing lines. This allows companies to recover costs faster and reinvest in innovation and growth.

Key Benefits

Immediate tax deduction improves cash flow
Faster ROI on capital investments
Encourages modernization and expansion
Reduces uncertainty around depreciation timelines

Now is the time to act.
Equipment must be ordered and delivered before your fiscal year end.

Use our Tax Savings Calculator to explore how 100% bonus depreciation can strengthen your financial position and accelerate your growth in 2025.

Tax Savings Calculator Below

Bonus Depreciation Calculator *

* To gain full access to the calculator you must download the Google Sheets file.