Federal Tax Breaks Aid Healthy Vending
Tax Breaks Fuel Vending Industry
With childhood obesity in the U.S. more than tripling over the past 30 years, President Barack Obama signed the Healthy Hunger-Free Kids Act of 2010 to reverse the trend. The law aims to make the food sold in schools healthier, and it also applies to food sold in public school vending machines.
The law opened opportunities for healthy vending machines to be placed in schools. Healhty vending is similar to traditional vending, but typically ditch the sodas, candy and chips with healthier options like juice, water and slices of fruit.
Politicians have been targeting the junk food sold in public school vending machines for years, leading states across the country to regulate them. As a response, the vending industry turned healthy and focused its attention on a tax break to spur the purchase of new vending machines and meet the demand created by the government regulations.
Section 179 of the tax code encourages business to purchase new equipment by writing off the equipment’s full cost as a tax deduction for the year it was bought. A small business can deduct up to $500,000, and the write-off coupled with federal regulations are combining to increase the healthy content of foods sold to American schoolchildren.
While everybody benefits from a healthy diet, we can also benefit from healthy finances. Like a financial doctor, a tax attorney can help you resolve your back tax debt, avoid a wage garnishment and give you a clean bill of financial health.
Note: tax relief options are currently not available in vending machines.