For over 30 years, Transfer Enterprises has helped procurement teams, facilities managers, and finance leaders across Connecticut and the Northeast source office furniture that fits both the budget and the mission — new, American-made Altuva pieces, or pre-owned and refurbished furniture at a fraction of the cost. In 2026, there’s an added incentive to move on furniture purchases: the Section 179 tax deduction, expanded significantly under the One Big Beautiful Bill Act (OBBBA), lets qualifying businesses write off a substantial share of what they spend on office furniture and equipment this year.
If you’re the one building the case for a furniture budget — balancing cost, sustainability goals, and ROI — here’s what the 2026 rules mean for your purchasing plan.
Why This Is a Procurement Story, Not Just a Tax Story
Section 179 rewards exactly the kind of buying procurement and finance teams already prioritize: well-documented, value-driven purchases that support the business. Pair that with the fact that new, used, and refurbished furniture all qualify equally, and a workspace refresh becomes a cost-saving and sustainability decision at the same time — not just a line item to justify.
2026 Section 179 Limits
- Maximum deduction: $2,560,000 in qualifying purchases for property placed in service during the 2026 tax year.
- Phase-out threshold: the deduction begins reducing dollar-for-dollar once total qualifying purchases exceed $4,090,000.
- Bonus depreciation: 100%, for qualifying property acquired and placed in service after January 19, 2025 — now a permanent feature of the tax code, not a temporary provision set to expire.
These limits are indexed for inflation and adjusted by the IRS each year, so the exact numbers will shift slightly in future tax years — but the underlying deduction is now permanent rather than something that could lapse.
What Counts as Qualifying Furniture — New, Used, and Refurbished All Qualify
To qualify, an item must be used for business purposes more than 50% of the time, and purchased and placed in service before December 31, 2026, for the 2026 tax year. Both new and used equipment qualify, as long as it’s new to your business — meaning pre-owned and refurbished office furniture is treated exactly the same as new furniture under Section 179.
See our guide to Why Choose Used & Refurbished Office Furniture for how far that can stretch a fixed budget. If a full custom build is part of your plan instead, our American-Made Altuva Collection qualifies the same way.
Financed or Leased Furniture Still Qualifies
You don’t need to pay cash upfront to claim the deduction. Financed and leased equipment placed in service during the tax year qualifies for the full Section 179 deduction — the same as a cash purchase — which makes it accessible even for teams managing cash flow carefully.
A Quick Example
Say your team budgets $75,000 for a workspace refresh this year, split between new Altuva desking and refurbished seating and storage. Under 2026 Section 179 rules, that full $75,000 is eligible for the deduction — no proration, no new-vs-used distinction. At a hypothetical 24% federal tax rate, that could mean roughly $18,000 back to your business, on top of whatever you already saved by choosing refurbished over new. (Your actual savings depend on your business’s specific tax situation.)
Frequently Asked Questions
Does used or refurbished office furniture qualify for Section 179? Yes. The deduction applies to any qualifying property new to your business, regardless of whether you bought it new or pre-owned.
Can I finance or lease furniture and still claim the deduction? Yes. Financed and leased equipment placed in service during the tax year qualifies for the full deduction, the same as a cash purchase.
What’s the deadline for the 2026 deduction? Furniture must be purchased and placed in service by December 31, 2026, to qualify for the 2026 tax year.
Is there a limit on how many individual pieces I can deduct? No per-item limit — the limits apply to your total qualifying purchases for the year ($2,560,000 max deduction, phasing out above $4,090,000 in total purchases).
A Note for Government, School, and Nonprofit Buyers
Section 179 applies to taxable, for-profit businesses — it works by reducing income tax owed, so tax-exempt organizations (municipalities, public schools, 501(c)(3)s) won’t see a direct benefit from it. If you’re purchasing on behalf of one of these organizations, our Connecticut DAS state contract pricing and GSA federal schedule may offer comparable savings without relying on a tax deduction.
Ready to Put Your Budget to Work?
Whether you’re weighing new Altuva-built furniture, refurbished pieces, or a mix of both, our team can help you plan a purchase that makes the most of both your Section 179 deduction and your budget. Request a consultation to talk through your 2026 workspace plans.
Talk to a Tax Advisor
Section 179 is a powerful deduction, but the right strategy depends on your specific purchases and business structure. Consult a tax advisor to confirm your qualifying amount, and visit Section179.org for the calculator and current-year guidance.
Sources
Section179.org — 2026 Section 179 Deduction: Limits, Phase-Outs & Examples
IRS Rev. Proc. 2025-32 (2026 inflation-adjusted figures)
IRS Notice 2026-11 (bonus depreciation guidance)
IRS Instructions for Form 4562 and IRS Publication 946
This is general tax information, not personalized tax advice. Consult a licensed tax professional to confirm how these rules apply to your business.