How the De Minimis Safe Harbor Rules Can Save You Thousands on Taxes

In this episode of The Tax Strategy Podcast, Lucas and Luna break down the de minimis safe harbor rules under IRS Revenue Procedure 2025-18. They explain how small business owners can immediately deduct assets under $2,500 (or $500 for taxpayers without applicable financial statements) rather than capitalizing and depreciating them over time. Using a real-world example of a freelance photographer buying $8,000 in equipment, they show how the rules simplify tax prep, reduce recordkeeping, and save thousands. They also cover the difference between de minimis and routine maintenance safe harbors, the importance of a written accounting policy, and common pitfalls like exceeding the threshold or failing to track per-unit costs. Perfect for solopreneurs, landlords, and anyone tired of depreciating office supplies. #DeMinimisSafeHarbor #TaxDeductions #SmallBusinessTax #IRSRevenueProcedure #Section179 #CapitalizationThreshold #TaxStrategy #FexingoBusiness #BusinessPodcast #TaxTips #SolopreneurTax #Bookkeeping #Depreciation #TaxCompliance #TaxPlanning #Finance #PodcastEp102 #LucasAndLuna Keep every episode free: buymeacoffee.com/fexingo