Did You Buy Livestock In 2025? The Section 179 Tax Deduction Could Save You Money

Section 179 of the Internal Revenue Code (IRC) tax code allows businesses to deduct the full purchase price of qualifying depreciable assets purchased or financed anytime in the 2025 tax year.

You can get significant tax relief by writing off the entire cost of equipment, trucks, trailers, livestock, and other big-ticket purchases. To benefit from the 2025 tax deduction, you must buy the livestock or equipment and place it into service by midnight on December 31, 2025.

What Assets Qualify For Section 179?

Whether you’re a farmer, a rancher, a breeder, a producer, or the owner of a larger agricultural business, you can use the section 179 tax deduction for a range of purchases. Qualifying items include:

• livestock
• new and used farm machinery
• construction equipment
• trucks and trailers
• sport utility vehicles
• computers and software
• office furniture

What’s The Maximum Write-Off?

The maximum section 179 expense deduction for the 2025 tax year is $2,500,000 (up from $1,220,000 for the 2024 tax year). This limit is reduced by the amount by which the cost of section 179 property placed in service during the tax year exceeds $4,000,000 (by contrast, the limit was $3,050,000 for the 2024 tax year).

The IRS also specifies that the maximum section 179 expense deduction for sport utility vehicles placed into service in tax years beginning in 2025 is $31,300 (up from $30,500 for the 2024 tax year).

How Can My Business Take The Deduction?

To take the section 179 deduction, your business must complete Part 1 of IRS tax form 4562, Depreciation and Amortization, and attach it to your company tax return. To learn more about the section 179 expense deduction and how it compares to section 168(k) of the IRC (commonly known as bonus depreciation), check out this post from the financing experts at CurrencyFinance.

Find Livestock & Equipment

Since both new and used equipment can qualify for a section 179 deduction, it’s an excellent time to find the right farm equipment, horse trailers, and other assets on sites like EquineMarket.com, LivestockMarket.com, TractorHouse.com, TruckPaper.com, and UtilityTrailersToday.com.

Get Equipment Financing, Too

Whether you want to purchase new or used farm machinery, construction equipment, trucks, trailers, RVs, turf equipment, motorsports vehicles, or other assets through Sandhills Global trade sites such as TractorHouse.com, you can apply for financing quickly and easily through Currency.

The CurrencyFinance team specializes in matching equipment buyers with trusted lending partners offering competitive financing up to $500,000 with low fixed rates, flexible terms of up to 72 months, and little or no money down. Click the Currency Apply For Financing link on any listing to apply, or visit GoCurrency.com for more information.