How to avoid the Section 179 rental equipment “Gotcha”

Do you operate as an S or C corporation?

If the answer is “yes,” you know it’s smart to get money out of your corporation without exposing it to payroll taxes or double taxation.

One proven way to do this is to rent equipment to your corporation. But if you do rent Section 179 personal property to your corporation you’ll have to confront one big “gotcha” and two high hurdles.

We’ll show you how avoid the traps and pitfalls the IRS sets for you when you read my new article titled Tax Tips: Avoid the Section 179 Gotcha When Renting Equipment to Your Corporation.

Three ways our fact-filled article can help you:

1. You’ll learn how to qualify for Section 179 expensing. There are three requirements you have to meet if want to qualify for Section 179 expensing on equipment you rent to your corporation. We’ll tell you what they are when you read the full article.
2. We’ll explain the (painful) “gotcha.” The IRS requires that the rental of equipment to your corporation has to rise to the level of a business. In other words, you can’t qualify for Section 179 expensing as a passive investor who merely rents the equipment to his or her corporation. This is a tough requirement but there is a way around it. You’ll learn what it is when you read the full article.
3. You’ll learn the six huge advantages of using the employee reimbursement rules. It’s worth reading my new article for this information alone. Don’t miss it! Now’s the time to read the full article.