Maximize Your Tax Savings with Section 179 Before The Year Ends

If you’re considering upgrading your fleet or adding new heavy equipment to your operations, 2025 is a prime year to act. Thanks to Section 179 of the IRS Tax Code, business owners can deduct the full purchase price of qualifying equipment in the same year it’s put into service—delivering immediate tax relief.

But there’s a catch: the equipment must be purchased, delivered, and in use by December 31, 2025. So now’s the time to take advantage.

Section 179: Your 2025 Tax Savings Opportunity

For 2025, the Section 179 deduction limit has increased to $1,200,000, with a phase-out threshold at $3,000,000. This generous incentive applies to both new and used heavy equipment, including excavators, haul trucks, bulldozers, cranes, and more.

That makes it an essential tool for companies in construction, logistics, infrastructure, and related industries looking to save big and grow smarter.

Example Scenario: See the Tax Benefits in Action

Example 1: Mid-Sized Purchase

You purchase a 2023 Terramac RT9 Haul Truck listed at $270,000. Under Section 179, you can deduct the entire cost in 2025.
If your business is in the 30% tax bracket, this could mean a tax savings of $81,000—all while retaining the truck as an asset.

Example 2: Larger Investment

You invest in a 2024 Caterpillar D10T2 Bulldozer priced at $2,395,000.
Here’s how it breaks down in 2025:

1. Deduct $1,200,000 using Section 179

2. Apply bonus depreciation to the remaining $1,195,000
   The result? Substantial tax savings and a significant reduction in your taxable income for the year.

Reminder: Equipment must be placed in service by December 31, 2025, to qualify for either deduction.

Why Contractors Should Act Now

1. Time is Running Out

Waiting until the end of the year puts you at risk of missing the deadline. Take action now to avoid last-minute delays or delivery issues that could disqualify your purchase.

2. Equipment Prices Are Climbing

Inflation and ongoing supply chain issues are pushing equipment costs higher. Buying now locks in today’s pricing while still benefiting from the 2025 deduction limits.

3. Bonus Depreciation is Still Available

Even if your purchase exceeds the Section 179 cap, you can apply bonus depreciation to deduct the remaining cost—offering a powerful, combined tax-saving strategy.

Financing + Section 179 = Smart Business Move

Here’s the best part: you don’t have to pay in full upfront to claim the deduction.
For example, if you finance a $270,000 haul truck, you can:

1. Deduct the full $270,000 in 2025

2. Spread your payments over time

3. Maintain cash flow while lowering your taxable income

Just make sure the equipment is in service by December 31, 2025, even if payments extend beyond that date.

What’s New in 2025?

Here’s a summary of the updated Section 179 limits for 2025:

These new limits offer even greater flexibility for large or multiple equipment purchases, making 2025 one of the most rewarding years yet for equipment upgrades.

Invest Now, Save Now

Section 179 is one of the most contractor-friendly tax codes in the IRS playbook, but it’s strictly time-sensitive. Every dollar you spend on qualifying heavy equipment before December 31, 2025, could come back as tens of thousands in tax savings.

At Boom & Bucket, we offer a robust selection of high-quality used heavy equipment, from bulldozers and excavators to trucks and cranes. Our team is ready to help you find the right machine—and make sure it qualifies for the 2025 Section 179 deduction.

Don’t Wait—Secure Your Equipment & Savings Today

Act now to take full advantage of the 2025 Section 179 limits. Your business will benefit from:

1. Lower taxable income

2. Equipment ownership

3. Improved operational capacity

4. Increased return on investment

Browse our inventory and get your equipment in service before the clock runs out.

Need Help? Start with the IRS

For complete details, consult:

1. IRS Form 4562 – Depreciation and Amortization

2. IRS Publication 946 – How to Depreciate Property

3. Or speak with your tax professional

Make 2025 the year you invest, grow, and save with smart equipment choices and Section 179 on your side.