FINANCING / LEASING

Wading through all of the options available to finance your ultrasound (or other equipment) can be time consuming and confusing. The members of The Ultrasound Trader have tried to simplify those options for you by working only with financial service providers who understand the unique environment of capital medical equipment. We can assist you in constructing a unique financing package designed to take advantage of all appropriate opportunities to save you money ? both up front and later in taxes. We know how valuable your hard earned money is and we pledge to save it for you every way possible.

Things you should know about the advantages of Leasing:

IRS Section 179
Under IRS Section 179, equipment purchases can be expensed (deducted from taxable income) if installed by December 31st. Finance leases ($1.00 buyout) qualify for this deduction in their year of inception. Qualifying property now also includes off-the-shelf computer software.

The maximum dollar amount of equipment you can purchase in 2006  is $430,000 before the writ-off is reduced dollar for dollar for purchases in excess of $430,000. This deduction is effective for purchases in the tax years that began in 2006. For any remaining amount above the $108,000 allowance, you are entitled to take the first year depreciation.

20% First Year Depreciation taken after Section 179 under the IRC (MACRS, 5-Year life, 200% declining balance, half-year convention) for the first year depreciation, 20% may be deducted the first year the equipment is placed in service.

The total cost of property that may be expensed for any tax year cannot exceed the total amount of taxable income (determined after application of the investment limitation) derived from the active conduct of any trade or business during the tax year. Costs disallowed under this rule may be carried forward an unlimited number of years subject to the ceiling amount for each year.

*Contact your tax advisor for specific information regarding IRS Section 179 and all accounting procedures.

Qualified property is tangible, personal property with a MACRS recovery period of 20 years or less.

* No Rendering of Advice. The information contained on this page is provided for informational purposes only and should not be construed as rendering financial, tax, accounting, auditing, legal, consulting, investment or other professional advice of any kind. Your use of this Site does not give rise to a client, advisory, fiduciary or professional services relationship. You should consult with a tax professional or legal advisor familiar with your particular situation before making any decisions based on any information you view on this page.