DHA, Hardwood Federation Push For Tax Break On Equipment
Posted On
November 16, 2022
More than 30 wood-related trade associations have signed on to a Hardwood Federation letter advocating for the extension of bonus depreciation: the ability to fully expense the cost of capital expenditures when purchased. Currently, this tax break will begin to phase out in 2023 and will be completely eliminated in 2027. The ability to write off 100% of an asset—like a kiln, boiler, forklift, or truck—when it's purchased allows companies to reduce short-term taxable income and has been critical to helping small and medium-sized wood products companies continue to operate. These companies are located primarily in rural communities across the country.
Resources:
- Bonus Depreciation Letter November 2022 (PDF)
- Hardwood Floors: Hardwood Federation Provides Industry-Focused Updates in November 3rd “D.C. Cheat Sheet”
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