What the New Law Means for Businesses
The One Big Beautiful Bill Act restores 100% bonus depreciation for qualifying property acquired and placed in service after January 19, 2025. Prior to this law change, bonus depreciation was set to phase out completely over the next couple of years. The deduction is now permanent at the favorable 100% rate. This means many businesses can immediately deduct the full cost of machinery, equipment, and other eligible assets, which frees up capital and reducing tax liability in the year of purchase.
State Non-Conformity and Tax Planning
Several states, including Rhode Island, do not conform to this law – meaning they do not allow the 100% deduction. We can work with you to maximize your tax savings between bonus depreciation and 179 expense.
If your business is planning a purchase or expansion, we can help structure your investments for maximum tax efficiency. Contact our team today at (401) 921-2000 to get started.