Did you know that starting in 2018, businesses can now write off up to $1 million in purchases toward security and fire protection systems, including visual and audible alarm systems?
According to SIA:
The Tax Cuts and Jobs Act (P.L. 115-97) signed into law on Dec. 22, 2017, included two important changes to the U.S. tax code providing incentives for businesses to invest in new security, fire protection, and alarm systems. These incentives were part of the broader effort in the new law to produce long-term economic growth by encouraging business to make capital investments.
Beginning in 2018, the new tax law allows many businesses to write off the full cost of such systems as an expense for the tax year they were placed in service, eliminating the capitalization requirement.
Fire-protection and alarm systems, including sensing devices, computer controls, sprinkler heads, sprinkler mains, associated piping or plumbing, pumps, visual and audible alarms, alarm control panels, heat and smoke detection devices, fire escapes, fire doors, emergency exit lighting and signage, and fire-fighting equipment, such as extinguishers and hoses
Security systems for the protection of the building and its occupants, including window and door locks, security cameras, recorders, monitors, motion detectors, security lighting, alarm systems, entry and access systems, related junction boxes, associated wiring and conduit
To learn more, visit SIA’s Guide to New Tax Incentives for Security and Fire Protection Systems or download their Tax Incentive Factsheet.
Disclaimer: The information on this website should not be used in any actual transaction without the advice and guidance of a professional Tax Adviser who is familiar with all the relevant facts. Although the information contained here is presented in good faith and believed to be correct, it is general in nature and is not intended as tax advice.