by Bob Creamer (originally published 11/14/07; revised 10/24/08)

Internal Revenue Code Section 179 has been referred to as “A Dentist’s Best Friend” and “A Treatment Plan for the Dental Office.” Whatever you call it, this section of the IRS code is most favorable to the dental office.

Section 179 provides an accelerated business deduction for the cost of equipment or furnishings, which the dentist can use to offset practice income. While meant to spur the economy through increased manufacturing and implementation of new technology, the Section 179 deduction can also be taken on used equipment or furnishings as long as the items are new to you. Qualified purchases can be immediately expensed regardless of their standard depreciation lives, which are five years for dental equipment and seven years for office furniture.