Are you considering upgrading your office phone system? The end of the year is the perfect time to invest in your business and take advantage of potential tax savings! Here’s how purchasing a new phone system before December 31 can help your small business save money while setting you up for a more productive year ahead.
Why Act Now?
By upgrading your phone system before the year ends, you may be eligible to claim valuable tax deductions under Section 179 of the IRS tax code. This incentive allows businesses to deduct the full purchase price of qualifying equipment in the same tax year, rather than depreciating it over time.
How Section 179 Works
• Deduct up to $1,160,000 (2024 limit): Any qualifying equipment, including communication systems like business phones, can be written off up to the maximum deduction limit.
• Applies to New and Used Equipment: Whether you’re buying the latest VoIP system or a certified refurbished option, it still counts!
• Immediate Savings for 2024: By deducting the purchase price, you reduce your taxable income and lower the amount you owe for the year.
Benefits for Your Business
1. Boost Productivity with Advanced Features
Modern phone systems come with tools like call forwarding, video conferencing, and automated voicemail transcription, making communication seamless for your team. This investment in efficiency can save time and improve customer satisfaction.
2. Improve Your Bottom Line
The tax deduction from Section 179 directly impacts your bottom line, giving you more flexibility to reinvest in your business.
3. Stay Competitive
Updating to an advanced phone system gives your business a tech edge, helping you deliver better results and keeping you ahead of competitors.
Maximizing Your Tax Savings
To ensure you get the most out of upgrading your phone system:
• Consult Your Tax Professional – Verify eligibility for deductions and ensure compliance with all tax laws.
• Act by December 31 – Purchases must be made and installed before the year ends to qualify for 2024 deductions.
• Choose Smart Financing Options – Financing your phone system may still qualify under Section 179, allowing you to spread payments while benefiting from the deduction.
Examples of Qualifying Equipment
• Avaya VoIP phone systems
• Avaya Unified communication platforms
• Avaya Desk phones and headsets
• Avaya Video conferencing tools
• Installation costs for new systems
How to Get Started
Not sure where to start? Here’s a quick checklist:
1. Assess your current phone system and identify what needs improvement.
2. Shop for systems that align with your business needs (like VoIP or cloud-based solutions).
3. Complete your purchase and ensure your new phone system is operational before December 31, 2024.
4. Keep your purchase receipts and invoices organized for tax filing.
Don’t Miss Out on Your Year-End Advantage
Investing in a new phone system isn’t just about upgrading your communication tools—it’s a step toward positioning your business for success in 2024, all while enjoying immediate tax savings. So why wait? Act now and reap the benefits before the year ends.
If you need guidance on choosing the right phone system, please consult our team of Avaya communication technology experts at (800) 750-3624 or sales@advcomsol.com.
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