CARES Act 2020 – Install a New System and Save with a Tax Deduction

The CARES (Coronavirus Act, Relief and Economic Security) Act allows companies to take a tax deduction* year one when they install and put a qualifying life safety system in service.

In the past, the depreciation had to be taken over a thirty-nine (39) year period. Taking the tax benefit now can reduce your overall cost of equipment and installation. 

BENEFITS OF CARES ACT

Benefit 1: Take 100% depreciation year 1 for full equipment & installation cost
Benefit 2: There is no cap to the cost of the equipment and labor
Benefit 3: Deduction can be taken all the way back to the beginning of 2018

SYSTEMS THAT QUALIFY

  • Sprinkler Systems
  • Fire Alarm Systems
  • Special Hazards/ Clean Agent Systems

Now is the time to talk to your tax professional to find out if your business qualifies for the tax deduction. If so, we are here to help. 

*Always consult your tax advisor to confirm your project and/or building qualifies for this tax benefit.

Fire Sprinkler Systems: What Can Go Wrong?

Automatic sprinkler systems are often considered the most significant component of a building fire protection strategy. When properly designed, installed and maintained, an automatic sprinkler system can control a fire and significantly reduce deaths, injuries and property damage. However, sprinkler systems have their limitations, and their performance can be affected by factors not linked to the initial design or installation of the sprinkler system. This article explores automatic sprinkler system failure data to identify and discuss causes of unsatisfactory sprinkler performance.

Historical fire losses provide experiences that shape current fire protection design methodologies, design criteria and defense strategies. Significant lessons learned have been extracted from post-fire investigations of major losses of life and/or property despite protection by an automatic sprinkler system. These post-fire loss investigations revealed not only the cause of the fires but causes associated with unsatisfactory sprinkler system performance. Unsatisfactory performance includes failure to operate, as well as ineffectiveness to control a fire and limit damages to life and property.

Generally, sprinkler systems are considered reliable and effective when properly designed, installed and maintained. Research shows that in most cases, when sprinklers are functional, they are successful in containing a fire.

Make sure your sprinklers are ready when they are called upon by partnering with Protegis Fire & Safety.