Sec 179 Depreciation 2025. You must have income to utilize section 179 depreciation, which is not a requirement to take bonus depreciation. Starting in 2023, bonus depreciation is gradually phased out as follows:

For tax years beginning in 2023, the maximum section 179 expense deduction is $1,160,000. The section 179 deduction can lower the cost of business equipment, and bonus depreciation may increase savings.