A section 179 deduction is deduction intended for small businesses. Section 179 of the United States Internal Revenue Code allows businesses to deduct the cost of certain types of property on their income taxes as an expense, rather than requiring the property be capitalized and depreciated. This property is generally limited to tangible personal property such as equipment and vehicles and usually does not include buildings or land. The maximum section 179 deduction a company may take in a year is currently $108,000.