
Big news for commercial property owners and business leaders:
The “Big Beautiful Bill” has expanded the Section 179 Tax Deduction to a staggering $2.5 million.
This means more opportunities than ever before to reinvest in your properties, improve your facilities, and dramatically reduce your taxable income.
Under this enhanced provision, businesses can immediately expense up to $2.5M in qualified capital improvements made in 2025. Eligible improvements include:
Commercial Roofing Systems – full or partial replacements
Commercial HVAC – energy-efficient systems that reduce long-term costs
Interior Build-Outs – tenant improvements, remodels, or reconfigurations
Building Envelope Restorations – windows, siding, doors, insulation, and more
Practically every significant building improvement
Financing + Insurance = Still Eligible
Even if you finance these improvements through commercial lending programs or cover them with insurance proceeds for building repairs, you can still leverage Section 179.
That means you’re not only making necessary upgrades—you’re also strategically using the tax deduction to wipe out taxable income across other areas of your business, up to the $2.5M cap.
A BRAND NEW revision represents one of the largest deductions in the history of the U.S. Commercial Building Industry!
In past years, Commercial Building Owners were required to depreciate capital improvements over 39 years.
That has all changed which now allows up to a $1,160,000 first-year deductions for improvements like Commercial Roofs, HVAC, Windows, etc.

This includes Assessing their Income, Investments, Deductions, and Potential Tax Credits.
This includes Assessing their Income, Investments, Deductions, and Potential Tax Credits.
If you're replacing your existing roof, you can get an additional benefit by writing off the cost of your existing roof.That means the amount remaining on your books representing the original cost of your exiting roof, less accumulated depreciation, can be taken off your books as a loss. So you're not only getting a deduction for the new roof, but also lowering as a result of any loss from writing off your existing roof.
If you're replacing your existing roof, you can get an additional benefit by writing off the cost of your existing roof.That means the amount remaining on your books representing the original cost of your exiting roof, less accumulated depreciation, can be taken off your books as a loss. So you're not only getting a deduction for the new roof, but also lowering as a result of any loss from writing off your existing roof.
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