Tax Benefits

Save up to 30% more than
a traditional build-out.
ALUR glass and dividing walls are movable and thus, considered furniture. As such, ALUR products can utilize a normal 7 year depreciation schedule as opposed to 39 years used for dry-wall and construction used in traditional office build outs. Demountable walls are classified as furniture by the IRS and therefore qualify for accelerated depreciation. In addition, ALUR Walls may qualify for 100% first year tax depreciated under Section 179c. For more information, refer to www.Section179.org and confirm with your tax planner to see how this may apply to you.
This represents a significant tax advantage over conventional construction.
Tax Benefits of
ALUR Walls

Depreciation is an income tax deduction that allows a business to take an annual allowance for the wear and tear of a property, and this deduction is spread out over the useful life of an item as determined by the IRS (see IRS Depreciation Schedule to the right).

Traditionally, companies created private offices and conference rooms by constructing drywall. Because drywall is considered a permanent fixture of a building, they are depreciated like a building—over 39 years! This means significantly less depreciation deductions and therefore, higher taxes each year.

ALUR walls offers tax-saving alternative — demountable walls. Because our (floor-to-ceiling) walls are demountable, the IRS treats them as furniture. This means that companies can depreciate ALUR walls in seven years, allowing for greater depreciation deductions for a more efficient cost savings sooner than a traditional build-out.

For further guidance on taking advantage of tax benefits, be sure to consult your tax professionals.

Depreciation Schedule
ALUR Walls may qualify for 100% write-off in the first year!
Property Useful Life
Computers 5 years
Furniture 7 years
Buildings 39 years
Source: IRS Publication 946
Section 179 Deduction

Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying equipment purchased or financed during the tax year. That means that if you buy (or lease) a piece of qualifying equipment, you can deduct the FULL PURCHASE PRICE from your gross income. It's an incentive created by the U.S. government to encourage businesses to buy equipment and invest in themselves.

2017 Section 179
Example Calculation
Equipment Purchases: $650,000
First Year Write Off:
($500,000 = maximum in 2015)
 $500,000
50% Bonus First Year Depreciation
(updated to 50% via PATH Act of 2015)
 $75,000
Normal First Year Depreciation
(20% in each of 5yrs on remaining account)
 $15,000
Total First Year Deduction
($500,000 + $75,000 + $15,000)
 $590,000
Cash Savings
($590,000 x 35% tax rate)
 $206,500
Equipment cost after Tax:
(assuming a 35% tax bracket)
 $443,500
s179
How it works
Under Section 179, a company can now write-off 100% of purchase price in the first year, if the purchase is under $500,000. If the purchase goes over $500,000 a bonus depreciation deduction can be used, in addition, to the standard Section 179 deduction.
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Headquartered in Pine Brook, New Jersey, ALUR has nationwide distribution and showrooms across the United States.

For answers to common questions contact us or call 973.446.2300