Section 179 Bonus Depreciation 2024. For 2024, the maximum bonus depreciation deduction is 60% of an asset’s cost. Claiming section 179 depreciation expense on the company’s federal tax return reduces the true cost of the purchase to $130,000 (assuming a 35% tax bracket), freeing up $70,000.
Recording the depreciation expense of an asset using section 179 or bonus depreciation can make a huge difference in the taxes you pay. Section 179 allows you to deduct a set dollar amount instead of a fixed percentage when using bonus depreciation.