Take Advantage of the 2025 Section 179 Deduction for Restaurant Equipment

If you're a restaurant owner or foodservice operator, here’s powerful news: Section 179 allows you to deduct the full cost (or a large portion) of qualifying equipment placed in service in 2025 — and that includes new or used gear.

What Is Section 179?

Section 179 of the IRS tax code is designed to encourage business investment. Instead of depreciating capital equipment over many years, you can expense the cost right away, reducing your taxable income in the same tax year you make the purchase.

This is especially useful for restaurants, catering operations, food trucks, cafés, and commercial kitchens — helping you modernize and scale without waiting years to see tax benefits.

What’s the 2025 Limit?

In 2025, you can deduct up to $2,500,000 in qualifying equipment purchases. That means if you're planning to invest in new or used ovens, refrigerators, dishwashers, mixers, hoods, or other capital gear, you can get a major tax break.

Which Types of Equipment Qualify?

Eligible items include (but aren’t limited to):

• Walk-in coolers and freezers
• Exhaust hood and ventilation systems
• Heavy-duty slicers and mixers
• Convection ovens, conveyor dishwashers
• High-efficiency fryers, steamers, etc.
• Other essential kitchen and foodservice machinery

As long as the equipment is used for business operations and placed in service by December 31, 2025, it could qualify under Section 179.

How Do You Get the Deduction?

Here’s how to claim it:

1. Purchase and place in service the equipment by year end.
2. Elect the deduction on IRS Form 4562 (Part I). This step is necessary — the deduction is not automatic.
3. Make sure the equipment is used more than 50% for business operations.
4. Keep documentation: invoices, installation dates, business use records.

Why It Matters for Restaurant Owners

• Maximize cash flow — by writing off the cost now, you free up capital to reinvest
• Upgrade sooner — no need to delay purchasing that new oven or refrigeration unit
• Support growth — better equipment can fuel higher volumes, more reliability, and improved efficiency

Next Steps — How ACityDiscount Helps

• Talk to our team at 404-752-6715 for a custom quote, turn-key build-out, or help identifying qualifying equipment
• Browse our inventory — we carry a wide array of commercial kitchen gear that often fits Section 179 criteria
• Consult your tax advisor — while we provide guidance and resources, each business’s tax situation is unique

Don’t wait — time is ticking. Use 2024 to your advantage and invest in the infrastructure your operation needs now.

Disclaimer: This content is for informational purposes only and should not be considered tax advice. Always consult your professional tax advisor or accountant before making deductions or capital investments.