Does EMR Software Qualify for the Section 179 IRS Deduction?
by Leigh-Ann Renz, 6.6.13
If you purchase qualifying software and put it into use by December 31st, 2012, the IRS tax code allows a business to deduct, for the current tax year, the full purchase price of the financed equipment (software). What determines qualification for software?
In general, the software must not be custom designed and must be available for purchase by the general public. Specifically, the software must only be financed or purchased outright; subject to a non-exclusive license and have not been substantially modified. (Click here for additional specifications)
So does PIMSY mental health EMR qualify? Yes, PIMSY does qualify for Section 179, if you purchase an annual license. We offer billing options to meet our clients’ needs: while some of our users choose to pay on a monthly basis, others opt to purchase this for the year and receive a 10% discount in the process. Because software under Section 179 must be leased or purchased outright, you’ll have to choose the annual package for PIMSY to qualify. As always, be sure to consult your tax professional to confirmation of the deduction.
Leigh-Ann Renz is the Marketing and Business Development Director of PIMSY EMR for mental health.