What You Need to Know About Recent Legislation Changes
If you’ve been considering a big investment in freeze-drying equipment—or any major capital purchase—2025 might be the perfect time to take the leap. Thanks to new provisions in what many are calling the “Big Beautiful Bill” (BBB), equipment buyers have a powerful financial incentive to act now.
Here’s why: accelerated depreciation.
What Is Accelerated Depreciation?
In simple terms, depreciation limits the annual amount that a company is allowed to deduct for capital equipment costs over time as it wears out or loses value. But accelerated depreciation lets you deduct a larger portion of that expense sooner—often in the first year.
Under the legislation, qualified capital equipment may now be eligible for:
- Immediate expensing (up to 100%) in year one
- Bonus depreciation extended and expanded
- Section 179 enhancements for small- and mid-sized businesses
That means serious savings, fast.
Example: Buying a Freeze Dryer in 2025
Let’s say you're planning to purchase a Parker Freeze Dryer for $250,000.
With the updated depreciation rules:
- Instead of spreading that deduction over 7–10 years…
- You could write off the entire $250,000 on your 2025 taxes.
- Depending on your tax bracket, that could equal $50K–$100K in real savings.
It’s like getting a government-backed rebate for scaling your production capacity.
Who Qualifies?
Most businesses investing in:
- Manufacturing or processing equipment
- Food production systems (yes, that includes freeze dryers)
- Equipment used in commercial, agricultural, or pet food operations
***Consult your tax advisor, but the new language in the legislation has broadened eligibility significantly—especially for U.S.-based production.***
Why It’s a Strategic Move
Accelerated depreciation isn’t just a tax benefit. It’s a cash flow advantage.
When you can deduct more upfront, you keep more money in your business. That means:
- Faster ROI on equipment
- Easier access to financing (stronger balance sheets)
- More confidence to scale or diversify
And if your competitors are upgrading? You don’t want to be left behind.
Final Thoughts
Legislation like the Big Beautiful Bill doesn’t come along every year—and its window won’t stay open forever. If you've been thinking about investing in capital equipment, 2025 is the time to get serious.
At Parker Freeze Dry, we don’t just build top-of-the-line systems—we help our clients scale smart. If you have questions about how your freeze-drying investment fits into these new tax advantages, we’re here to help you break it down.
