Does a Commercial Roof Qualify for Bonus Depreciation in Framingham

Commercial Roof Qualify for Bonus Depreciation in Framingham

Does a Commercial Roof Qualify for Bonus Depreciation in Framingham Yes, a commercial roof in Framingham can qualify for bonus depreciation under certain conditions. 

This option comes from the IRS Section 179, which lets businesses write off the cost of a new commercial roof up to $1,160,000. 

But remember, starting from January 1, 2023, the bonus depreciation rates drop from 100% to 80%.

Quick Summary

  • Eligibility for Bonus Depreciation: Commercial roofs in Framingham may qualify for bonus depreciation under certain conditions, as per IRS Section 179.
  • Deduction Limits and Dates: Businesses can deduct up to $1,160,000 for a new commercial roof, with full 100% bonus depreciation available for roofs placed in service before 2023, decreasing to 80% in 2023 and gradually reducing in subsequent years.
  • Planning Roofing Projects: Timing is crucial for maximizing tax benefits, with higher depreciation rates available for projects completed before the rate decreases.
  • Importance of Professional Consultation: Consulting a tax professional in Framingham is advised to understand specific eligibility and make informed decisions.
  • Comparison of Depreciation Methods: Differentiating between bonus depreciation and standard depreciation, highlighting the immediate tax relief of the former against the gradual benefits of the latter.
  • Practical Case Studies: Including real-life examples or hypothetical scenarios from Framingham to illustrate the benefits of using bonus depreciation for commercial roofing projects.
  • Future Outlook: Discussing the future of depreciation rates and strategies for tax planning in light of these changes, focusing on alternative incentives for commercial property owners.

Understanding Bonus Depreciation for Commercial Roofs

What is Bonus Depreciation?

Bonus depreciation is a tax benefit. It lets businesses subtract a big part of the purchase price of eligible business assets, like roofs, in the year they are put into use. 

This means instead of spreading the cost over many years, you can take a big deduction all at once.

How Does This Apply to Commercial Roofs?

For commercial roofs, this rule means:

  1. Full 100% Deduction Before 2023: If you put a new roof on your building between Sept. 27, 2017, and the end of 2022, you could deduct the full cost in that year.
  2. Decreased Deduction After 2022: Starting in 2023, this deduction starts to go down. It drops to 80% in 2023 and will keep decreasing in the following years.

Special Case of Framingham

In Framingham, the same rules apply, but there are extra things to think about:

  • Local Laws: Framingham might have specific tax laws affecting this.
  • Type of Property: What your building is used for can change how this works.

So, it’s always a good idea to talk to a tax expert in Framingham who knows about these rules.

Comparing Bonus Depreciation

Comparing Bonus Depreciation vs Standard Depreciation

Businesses often weigh between bonus and standard depreciation when choosing how to depreciate a commercial roof. 

Bonus depreciation allows a substantial deduction in the first year itself, which can significantly reduce taxable income.

On the other hand, standard depreciation spreads the cost over the asset’s useful life, typically 39 years for commercial property. 

This results in smaller annual deductions. While bonus depreciation offers a more immediate tax relief, standard depreciation substantially reduces taxable income over a longer period.

The choice depends on a business’s current financial situation and long-term financial planning.

FeatureBonus DepreciationStandard Depreciation
Deduction RateUp to 100% in the first yearSmaller percentage over 39 years
Tax Relief TimingImmediateGradual, over the asset’s lifespan
Useful ForBusinesses needing immediate tax reliefBusinesses prefer steady deductions
Depreciable LifeShorter period (first year)Longer period (up to 39 years)
FlexibilityHigher in initial yearsConsistent throughout the period

Why Plan Roofing Projects Now?

Catch the Higher Rates

If you’re thinking about getting a new roof for your business, doing it soon can save you more money. Here’s why:

  • 100% Deduction: If you act fast before the rates drop, you can get the full deduction.
  • Save Money: This can mean significant tax savings, which helps your business.

How to Plan

  1. Check Eligibility: Make sure your roof project fits the rules.
  2. Talk to Experts: Get advice from tax pros in Framingham.
  3. Budget Wisely: Plan your finances to make the most of this benefit.

Consult a Professional

Every business is different, and so are the tax rules in each place. It’s wise to get advice from someone who knows the specifics. They can help you understand:

  • Your Eligibility: Are you and your roof project eligible?
  • Local Factors: How do Framingham’s rules affect you?
  • Best Timing: When should you do your project to get the most benefit?


In short, yes, a commercial roof in Framingham can get bonus depreciation, but it’s smart to act soon and seek expert advice. 

This way, you can make the best choices for your business and save money, too. Tax laws can be tricky, so getting professional help is always a good move.

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