Invest in Fire Protection Systems for Tax Incentives

Section 179 of the IRS tax code allows for business to expense in full the cost of machinery and equipment in the year placed in service rather than depreciate over 5, 7, 15 or 39 years depending on the capital investment.  As a result of the Tax Cuts and Jobs Act passed in December of 2017, new incentives for business and property owners to expense the cost of fire detection systems, as well as other life and safety systems were provided.  

Depending on the type of fire detection system purchased and installed, these expenses may now also be fully expensed in the year placed in service.  The new law allowed for business to eliminate depreciation and capitalization of these expenses and also includes an increase in the dollar amount eligible for Section 179 expense.  Previously, business owners could deduct up to $500,000 of qualifying equipment not to exceed taxable income.  The new law raises this limit to $1 million which phases out on a dollar for dollar basis after $2.5 million of qualifying purchases and zeros out at $3.5 million. 

These incentives allow for business and property owners to deduct expenses for fire detection and life safety systems that were previously not available.  Newly allowed expenses include costs for fire detection and alarm systems including initiating devices and sensor equipment, sprinkler mains, heads and plumbing associated with sprinkler alarms.  Also included are audible and visual notification alarms, fire alarm control panels, smoke, heat, and gas detection devices and fire escapes including emergency exit equipment, fire doors and fire escapes. Additional components include monitors, motion detectors, security lighting, wiring and conduit. 

High Rise Security Systems Helps with Fire Alarm Tax Incentives

High Rise Security Systems is a leading fire alarm specialist protecting commercial property of all shapes in sizes in and around Chicago.  We offer knowledgeable fire alarm system design, UL listed equipment, system inspection, testing, maintenance and monitoring.  We will help you determine the right system for your property and show you how to evaluate the best system for your needs.

HRSS is a leading fire alarm consulting company offering in-depth expertise and knowledge with code compliant fire and life safety systems.  We help building owners to evaluate the best system for your property and operations.  Contact us to learn more about the many tax incentives available to you with fire protection system installation.