NEW Tax Benefit for Commercial Roofs!

Recently passed tax reform bill qualifies property owners for a $1 million deduction for commercial roof expenses.

To learn more, see the resources below:

"The Sec. 179 expensing provision (deduction) is intended to primarily help small businesses purchase needed equipment and write-off the full amount on their taxes for the current year. Qualifying 179 property generally includes business equipment, computers and certain vehicles, and virtually all construction equipment and machinery purchases are allowed. Non-residential roofs are also now included.

The new limit on the total amount of Sec. 179 property a business can purchase each year before a phase-out begins is $2.5 million (up from $2 million), and the annual limit for the deduction itself has been raised to $1 million (up from $500,000). Also, the $1 million annual deduction and $2.5 million maximum business investment limits are now permanent and indexed for inflation each year starting in 2019."

"This means that commercial roofing company customers can now fully expense the cost of a roof up to $1 million provided they do not acquire other tangible personal property that exceeds the $2.5 million cap."

"In December 2017, Congress approved the Tax Cuts and Jobs Act (H.R. 1) of 2017, the most sweeping tax reform legislation in more than 30 years. NRCA was actively involved at each stage of the legislative process and is pleased the final bill recognizes the roofing industry's highest priorities. The positive results demonstrate the value of NRCA's active engagement in the policymaking process in Washington, D.C., and at the grassroots level on behalf of its members."

"NRCA is extremely pleased that the Tax Cuts and Jobs Act expands the definition of qualified real property eligible for full expensing under Section 179 of the tax code to include improvements to nonresidential roofs. This is a major victory for NRCA, as it is the result of years of efforts to educate lawmakers regarding the economic benefits of improved tax treatment of roofs."