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New Telecom with a Tax Savings? Bonus!

By Laura Armbruster on October 25, 2016 in Customer Service, News, Phone Systems
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savings-2-940x627-copyThis is often a harried time of the year – budgeting for 2017, analyzing 2016 and trying to make the right decisions to move your company forward. This is exacerbated by the uncertainty of our economic future. Will you continue to grow? Will you need to downsize? How will you accommodate the changing needs of your business and ensure good communication and excellent service?

The business focus to ensure quality communication often aligns with the decision to improve your telecommunications equipment and service. Let’s face it – that is not always the most fun decision, particularly if you have not had quality service from your telecommunications service provider.

What if you could maximize your telecommunications system, enhance your business processes, and save on your taxes at the same time? Now that would be worth exploring!

Good Communication is a Competitive Factor

One of the many benefits of being in the Dallas-Fort Worth metroplex is that we enjoy economic growth that is not realized in other parts of the country. The influx of both large and small corporations to the North Texas area give us an opportunity to maximize our businesses in ways many others do not have. It also sets the bar higher when it comes to performance and competition.

“Ensuring that potential clients and existing customers can easily reach any of your team is an expectation,” said Jamie Tetts, president and founder of SJS Communications. “It also includes the ability to be reached quickly, easily and through the medium preferred by the client. Now having a robust telecom system that can accommodate ease of access and minimize the frustration of call trees and leaving messages is crucial to remaining competitive in the current business landscape.”

Of course, the idea of spending a lot of money on a new business telephone system is not appealing, particularly with the liability of a capital expenditure. Fortunately, there is another way.

Buy or Lease and Reap the Benefits of Section 179

Section 179 is not new, but is often an overlooked tax benefit for those who need to make an equipment purchase for their business. The reason Section 179 was created was to help motivate businesses to invest more aggressively, which in turn stimulates the economy. According to the Internal Revenue Service, Section 179 is defined as electing to recover all or part of the cost of certain qualifying property, up to a limit, by deducting it in the year you place the property in service.

The deduction limit was permanently set to $500,000 in 2015 by The Protecting Americans from Tax Hikes Act, and qualifying property includes both new and used equipment, as well as certain leases. Section 179 applies to both tangible assets, software (off-the-shelf rather than custom applications), and vehicles used for business. A summary of qualified equipment is as follows:

  • Office equipment (copiers, printers, telephone systems, fax machines).
  • Computers and related computer equipment.
  • “Off-the-shelf” software.
  • Tangible equipment such as machinery, compressors, photographic equipment.
  • Office furniture.
  • Tangible person property used in business (only the percentage used in business qualifies).
  • Certain business vehicles (check with your professional tax advisor on this as it changes regularly).
  • Property attached to a building that is not a structural component of a building.

“There are some caveats to Section 179 that are worth visiting with your tax advisor. However, overall it’s simple to understand and worth investigating if you are in need of new business telephone equipment,” said Jamie.

Maximize Communications in 2017

There are several reasons to consider upgrading your business telephone system, including:

  • Compliance with Kari’s Law.
  • Implementing a secure BYOD system.
  • Ensuring your telecommunications equipment supports business growth.
  • Aligning with business growth needs, including seasonal changes.
  • Moving your offices.

“Regardless of the reason to consider a new system, it’s important to find the right telecommunications service provider,” said Jamie. “We are familiar with some of the less pleasant industry challenges that impact clients, which is why we are dedicated to service through our Total Coverage Commitment.”

The ability to master communications will be a competitive advantage for your business, while setting you up to succeed in 2017. Coupled with the advantage of Section 179, now is a good time to put a new phone system into the forefront of your business needs.

SJS Communications has multiple solutions to support your business growth, including on-premise phone systems, hosted VoIP, surveillance equipment, as well as cabling and moving support. Contact our team by calling 817-855-2018 and we will work with you to determine if Section 179 will help to maximize your business in 2017.

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