Section 179 of the federal tax code allows small businesses to deduct up to $1 million in business purchases. This means you can write off the full amount for qualifying items such as furniture, machinery, computers, and building improvements, essentially saving money on those purchases to improve your business. Just keep in mind that in order to qualify for a deduction the equipment has to be in use by Dec. 31. However, it’s acceptable to buy the equipment and use it but not pay for it by the end of the year. Purchases bought on credit can still be deducted! According to the IRS, Section 179 is an incentive “to encourage businesses to buy equipment and invest in themselves.”'Tis the season for saving but act quickly!