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Bonus depreciation is a tax break that allows firms to instantly deduct a considerable amount of the cost of qualified assets rather than depreciating them over their useful lives. This accelerated depreciation is applicable to assets with a recovery duration of 20 years or fewer, such as machinery, equipment, and certain improvements. Companies can use Bonus Depreciation to lower their taxable revenue in the year the asset is put into operation, thereby increasing cash flow and incentivizing investment. It is crucial to note that the availability and proportion of Bonus Depreciation may change due to legislative revisions, thus consultation with a tax specialist is recommended to determine its current relevance. For more information https://www.expertcostseg.com/bonus-depreciation/

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