Resources

A brilliant deduction

Tax Reform Makes Dash DDX™ Software a Brilliant Deduction

2018’s Best Hack to Lower Your Taxes, Improve Your Business

Looking for 2018 business deductions with immediate impact?

Thanks to tax code changes, you can expense 100% of software purchases like Dash DDX document management software this year—and immediately lower your tax burden.

Expanded deductions in Section 179 give businesses the opportunity to immediately and fully deduct a number of fixed assets for the year they are purchased. Among these assets are any monthly software subscriptions; a number of related fees; and software, as long as the software is an off-the-shelf (not custom) solution. (Yes, Dash DDX software qualifies.)

Savings

Why Buy Now?

As our post, the Cost of Doing Nothing outlines, LEAN experts estimate manufacturing and distribution organizations experience a $14,000 loss of productivity per staff member per year due to the inefficiencies of paper-based filing systems.

Yet companies typically put off the decision to go paperless and invest in document management software due to cost.

Now, with full deductibility, there’s actually an instant bottom line bonus from our friends at the IRS for taking action.

We promise: the savings will keep coming.

Many of our manufacturing and distribution software customers report payback in as little as three months to one year (savings multiply as their employees become familiar with, and use, the software’s full features).

Act Now for Your 2018 Deduction!

If your business is on a calendar year, you have a limited window. Contact Dash now to get your document management in the pipeline for 2018 deductibility. We’ll assess your business and software needs; determine the best options, and ensure your software is fully installed and functional by Dec. 31.

This is also an excellent opportunity to take advantage of the benefits of ERP (Enterprise Resource Planning) Software, one of the best LEAN investments for today’s manufacturers and distributors. Many of today’s best ERP systems already come pre-bundled with Dash DDX software.

Whether you’re looking at Dash DDX™ software as a stand-alone solution or as part of an ERP platform (link to partners page), you should still have no problem meeting the deadline, as long as you act prior to the end of the tax year.

“Off-the-shelf computer software is qualifying property for purposes of the section 179 deduction. This is computer software that is readily available for purchase by the general public, is subject to non-exclusive license, and has not been substantially modified. It includes any program designed to cause a computer to perform a desired function. However, a database or similar item is not considered computer software unless it is in the public domain and is incidental to the operation of otherwise qualifying software.”

Excerpt: IRS Publication 946 on Section 179, How to Depreciate Property

 

 

P.S. Talk to your tax professional.

As always, please consult with your tax advisor.

It goes without saying that we, at the Dash Development Group, are software geeks—not tax professionals. But we do want to give you a heads up on a win-win opportunity to lower your taxes while improving your business.

In any case, investing in paperless efficiency is a brilliant deduction for 2018.


Leave a Reply

Your email address will not be published. Required fields are marked *