As a hardwood floor contractor, the right equipment does more than power your jobsite. It protects your reputation, boosts efficiency, and keeps you competitive. But here’s something many pros don’t take full advantage of: buying equipment before the end of the year can also mean major tax savings.
Thanks to Section 179, you may be able to deduct the full purchase price of qualifying equipment on your 2025 taxes instead of depreciating it over the next several years. That means more money back in your pocket
Please note, this post is intended to offer ideas and opportunities, not specific tax advice. Please consult with your tax professional(s) concerning your specific situation.
What Is Section 179?
Section 179 is a tax incentive designed to make equipment upgrades more accessible for small and mid-sized businesses. Rather than writing off equipment gradually over time, it allows you to deduct the entire purchase cost in the same tax year, as long as the equipment is purchased and placed into service by December 31, 2025.
For 2025, the deduction limit is $2,500,000, and the spending cap for equipment purchases is $4,000,000.
How Does Section 179 Work?
Here’s an example of how the deduction can help your bottom line:
- Purchase Price: You invest $50,000 in a new hardwood floor sanding machine.
- Section 179 Deduction: You deduct the full $50,000 from your taxable income for 2025.
- Tax Savings: If your tax rate is 24%, your actual savings could amount to $12,000.
Instead of spreading that deduction out over multiple years, you get the benefit immediately — freeing up cash to fuel your business growth right now.
Why Hardwood Floor Contractors Should Take Advantage of Section 179
Work smarter and stay Competitive. Modern equipment helps you complete jobs faster, produce higher-quality floors, and reduce costly downtime.
Keep more cash on hand. Deducting the full purchase this year improves cash flow, which means more freedom for staffing, supplies, or marketing.
Don’t miss the deadline! Equipment must be purchased and placed into service by December 31, 2025. If you know you’ll need a new buffer, edger, or dust containment system this year, planning early pays off.
What Equipment Qualifies for Section 179?
Most hardwood flooring tools and machinery qualify, including:
- Belt/drum sanders and buffers
- Edgers and ride-on sanding machines
- Dust containment systems
- Nailers, staplers, and compressors
- Vacuums, extractors, and accessories
New and used equipment both count, as long as it’s purchased (not leased) and used for business more than 50% of the time.
Financing Options for Contractors
Even if you’re not ready to pay for new equipment upfront, financing options allow you to take full advantage of Section 179. City Floor Supply offers interest-free financing for qualified contractors, making it easier to acquire the tools you need and deduct the full cost of your equipment while spreading out the payments — contact us at (800) 737-1786 to learn more.
Plan Your Purchases Now
If you’ve been putting off buying new equipment, 2025 is the year to act. With the higher deduction limit and spending cap, Section 179 provides an excellent incentive to upgrade your tools and grow your business.
How to Get Started
- Review your current equipment needs.
- Consult your tax advisor to confirm how Section 179 applies to your specific situation.
- Purchase your equipment before the December 31, 2025 deadline.
- Keep all purchase and financing documentation to ensure a smooth tax filing process.
Investing in your business doesn’t just help you deliver better results—it can also save you money. Don’t wait until the last minute to take advantage of Section 179. Equip your business for success and maximize your tax savings before the year ends.
Please note, this post is intended to offer ideas and opportunities, not specific tax advice. Please consult with your tax professional(s) concerning your specific situation.