Utility Rebates vs Section 179: How Commercial Growers Should Stack Both
Commercial cultivators can stack utility rebates and Section 179 depreciation to recover well over half the capital expenditure on qualifying grow equipment. Utility rebates provide immediate cash incentives based on equipment efficiency, while Section 179 allows full expensing of up to $1.16 million in qualifying assets in the year placed in service. Sequencing matters: subtract the rebate from the cost basis before claiming the deduction.
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