Whether each US state conforms to the federal Section 179 expensing limit and the 100% bonus depreciation deduction, and what state-specific caps or add-back rules apply when it does not. Each record is one state, stating its conformity status for both Section 179 and bonus depreciation, the state's own Section 179 dollar cap if different from federal, whether the state requires a bonus depreciation add-back, the depreciation method the state uses instead, and a statute or administrative citation. The federal Section 179 limit for 2026 is $2,560,000 with a $4,090,000 phase-out; 100% bonus depreciation was made permanent by the One Big Beautiful Bill Act (January 2025). At least a dozen states decouple from bonus depreciation (California, New York, New Jersey, Pennsylvania, Massachusetts, DC, Connecticut, Maryland, Tennessee, North Carolina, Indiana, Wisconsin among others), and several cap Section 179 far below the federal limit (California: $25,000; New Jersey: $25,000; Pennsylvania: not allowed for corporate income tax). A $480,000 equipment purchase in California produces roughly $51,000 in extra state tax in year one. Answers 'does my state allow bonus depreciation', 'what is the Section 179 limit in [state]', 'do I have to add back bonus depreciation on my state return', and 'which states decouple from federal depreciation rules'.

State tax conformity positions are facts derived from state statutes and revenue department publications; not copyrightable. Sources are tax software support pages, CPA educational articles, and state revenue department publications.

State conformity to federal Section 179 and bonus depreciation rules


**State:** Alabama

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Alabama | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Alabama — State conformity to federal Section 179 and bonus depreciation rules

addback_rule, bonus_depreciation_conformity, section_179_conformity, state_section_179_cap, state_section_179_phaseout


**State:** Alabama

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** rolling conformity

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes. Alabama conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 Yes. Alabama conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

addback_rule, irc_conformity_date, state_section_179_cap, state_section_179_phaseout


**State:** Alaska

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** N/A

**Add-back rule:** N/A

**IRC conformity date:** N/A

**Has income tax:** no

> If your state does not levy a traditional personal or corporate income tax, Section 179 may not impact state income tax.

Source: <https://www.section179.org/section_179_by_state/>

Alaska — State conformity to federal Section 179 and bonus depreciation rules

addback_rule, bonus_depreciation_conformity, has_income_tax, irc_conformity_date, section_179_conformity, state, state_section_179_cap, state_section_179_phaseout


**State:** Arizona

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Arizona does not conform to bonus depreciation

**Has income tax:** yes

> Yes | | Arizona | No | No | Sec 179 limit – $25,000 |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Arizona — State conformity to federal Section 179 and bonus depreciation rules

addback_rule, bonus_depreciation_conformity, section_179_conformity, state_section_179_phaseout


**State:** Arizona

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** IRC as of January 1, 2019

**Has income tax:** yes

**Statute or guidance citation:** IRC § 168(k), in effect as of 01/01/2017

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Arizona conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. For property placed in service in tax years beginning after December 31, 2016, Arizona allows an amount equal to the full amount, i.e., 100%, of the amount of bonus depreciation allowed under IRC § 168(k) , in effect as of 01/01/2017, to be subtracted from Arizona gross income. State Follows IRC § 179-TCJA of 2017 : Yes Arizona conforms to the IRC in effect on January 1, 2019 and therefore adopts changed made by the TCJA.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Arkansas

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Arkansas | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Arkansas — State conformity to federal Section 179 and bonus depreciation rules


**State:** Arkansas

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** state does not conform to bonus depreciation; adjustment required

**IRC conformity date:** IRC as of January 1, 2022

**Has income tax:** yes

**Statute or guidance citation:** IRC §179 as in effect on January 1, 2022

> State Follows Bonus Depreciation-TCJA of 2017 : No Arkansas does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Arkansas adopts IRC §179 as in effect on January 1, 2022, and, therefore, conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

addback_rule, bonus_depreciation_conformity, irc_conformity_date, state_section_179_cap, state_section_179_phaseout


**State:** California

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** California does not conform to bonus depreciation

**Has income tax:** yes

> Yes | | Arizona | No | No | Sec 179 limit – $25,000 | California |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

California — State conformity to federal Section 179 and bonus depreciation rules


**State:** California

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** $200,000

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** The state requires the addback. California allows the asset to depreciate over its MACRS life

**Has income tax:** yes

> California caps Section 179 at $25,000 with a $200,000 phase-out.

Source: <https://ecomcpa.com/when-federal-100-bonus-depreciation-doesnt-travel-the-state-conformity-headache-for-ecommerce-sellers-in-2026/>

addback_rule, bonus_depreciation_conformity, has_income_tax, section_179_conformity


**State:** California

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** state cap applies (does not conform to TCJA increase to $1 million)

**State Section 179 phase-out:** state phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** California does not conform to bonus depreciation; adjustment required

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No California does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after 09/27/2017, and before 01/01/2023. State Follows IRC § 179-TCJA of 2017 : No California does not conform to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

addback_rule, bonus_depreciation_conformity, has_income_tax, section_179_conformity, state_section_179_phaseout


**State:** Colorado

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Colorado | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Colorado — State conformity to federal Section 179 and bonus depreciation rules


**State:** Colorado

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** rolling conformity

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Colorado conforms to the IRC as currently amended and has not decoupled from the changes made by the Tax Cuts and Jobs Act (TCJA) to IRC § 168(k) that allows a 100% first-year deduction for the adjusted basis for qualified property acquired and placed in service after September 27, 2017 and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Colorado conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Connecticut

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** spread over 4 years

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** bonus depreciation spread over 4 years

**Has income tax:** yes

> Connecticut | Over 4 years | Over 4 years |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Connecticut — State conformity to federal Section 179 and bonus depreciation rules

addback_rule, bonus_depreciation_conformity, has_income_tax, section_179_conformity, state_section_179_cap, state_section_179_phaseout


**State:** Connecticut

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** 80% of IRC § 179 deduction is disallowed; 25% of disallowed portion allowed in each of the four succeeding income years

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** any additional allowance for bonus depreciation under IRC § 168(k) must be added back; 25% of the disallowed deduction may be deducted for each of the four succeeding tax years

**Has income tax:** yes

> Yes Colorado conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation State Follows Bonus Depreciation-TCJA of 2017 : No Connecticut

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Delaware

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Delaware | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Delaware — State conformity to federal Section 179 and bonus depreciation rules


**State:** Delaware

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** rolling conformity

**Has income tax:** yes

> Federal deduction is reflected in federal taxable income, Delaware's starting point for computing income and Delaware requires depletion adjustment but not depreciation adjustment. State Follows IRC § 179-TCJA of 2017 : Yes Delaware conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. Federal expensing deductions are reflected in federal taxable income, Delaware's starting point for computing income and Delaware does not require an expensing adjustment. State Follows Bonus Depreciation-TCJA of 2017 : N/A State Follows IRC § 179-TCJA of 2017 :

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** District of Columbia

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** District of Columbia does not conform to bonus depreciation

**Has income tax:** yes

> Yes | | District of Columbia | No | No | Sec 179 limit – $25,000 |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

District of Columbia — State conformity to federal Section 179 and bonus depreciation rules


**State:** Florida

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** N/A

**Add-back rule:** N/A

**IRC conformity date:** N/A

**Has income tax:** no

> If your state does not levy a traditional personal or corporate income tax, Section 179 may not impact state income tax.

Source: <https://www.section179.org/section_179_by_state/>

Florida — State conformity to federal Section 179 and bonus depreciation rules


**State:** Georgia

**Section 179 conformity:** partial conformity

**State Section 179 cap:** complies for machinery and equipment; does not allow Sec. 179 for real property

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Georgia does not conform to bonus depreciation

**Has income tax:** yes

> Georgia | No | Partially | Sec 179 – Complies for machinery and equipment. Does not allow Sec. 179 for real property

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Georgia — State conformity to federal Section 179 and bonus depreciation rules


**State:** Georgia

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Georgia's IRC conformity specifically excludes IRC § 168(k)

**Has income tax:** yes

**Statute or guidance citation:** IRC § 168(k) specifically excluded

> Georgia's IRC conformity specifically excludes IRC § 168(k). State Follows IRC § 179-TCJA of 2017 : Yes Georgia conforms

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

addback_rule, bonus_depreciation_conformity, state_section_179_cap, state_section_179_phaseout, statute_citation


**State:** Hawaii

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Hawaii does not conform to bonus depreciation

**Has income tax:** yes

> Hawaii | No | No | Sec 179 limit – $25,000 | Idaho | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Hawaii — State conformity to federal Section 179 and bonus depreciation rules


**State:** Hawaii

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** $200,000

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Hawaii does not conform to IRC § 168(k)

**Has income tax:** yes

**Statute or guidance citation:** IRC Section 179(b)(1), IRC Section 179(b)(2)

> State Follows Bonus Depreciation-TCJA of 2017 : No Hawaii does not conform to the provision of the Tax Cuts and Jobs Act that provides a 100% first-year deduction for the adjusted basis that is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Hawaii does not conform to IRC § 168(k). State Follows IRC § 179-TCJA of 2017 : No Hawaii does not conform to the provision in the Tax Cuts and Jobs Act that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. The aggregate cost provided in IRC Section 179(b)(1) which may be taken into account for IRC Section 179(a) for any taxable year cannot exceed $25,000. The amount at which the reduction limitation provided in IRC Section 179(b)(2) begins must exceed $200,000 for any taxable year.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

bonus_depreciation_conformity, has_income_tax, section_179_conformity, statute_citation


**State:** Idaho

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Idaho does not conform to bonus depreciation

**Has income tax:** yes

> Idaho | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Idaho — State conformity to federal Section 179 and bonus depreciation rules


**State:** Idaho

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Idaho does not conform to bonus depreciation; adjustment required

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Idaho does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Idaho conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

addback_rule, bonus_depreciation_conformity, state_section_179_cap, state_section_179_phaseout


**State:** Illinois

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Illinois | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Illinois — State conformity to federal Section 179 and bonus depreciation rules


**State:** Illinois

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** for taxable years beginning after December 31, 2021, the state decouples from the 100% depreciation deduction

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No For taxable years beginning after December 31, 2021, the state decouples from the 100% depreciation deduction. For tax years beginning before December 31, 2021, Illinois conformed to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis of qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Illinois does conform to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

bonus_depreciation_conformity, section_179_conformity, state_section_179_cap, state_section_179_phaseout


**State:** Indiana

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Indiana does not conform to bonus depreciation

**Has income tax:** yes

> Yes | | Indiana | No | No | Sec 179 limit – $25,000 |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Indiana — State conformity to federal Section 179 and bonus depreciation rules


**State:** Indiana

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Indiana does not conform to bonus depreciation; adjustment required

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Indiana does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : No Indiana does not conform to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. Effective retroactive to January 1, 2019, the amount that a taxpayer may expense under IRC § 179 is limited to the sum of $25,000 and the amount of any deduction elected under IRC § 179 for taxable years beginning after December 31, 2017, related to property that would have qualified for the tax-free exchange under IRC § 1031 in effect on January 1, 2017.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Iowa

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Iowa | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Iowa — State conformity to federal Section 179 and bonus depreciation rules


**State:** Iowa

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies (fully conforms beginning tax year 2020)

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Iowa does not conform to bonus depreciation; adjustment required

**Has income tax:** yes

**Statute or guidance citation:** IRC § 179

> State Follows Bonus Depreciation-TCJA of 2017 : No Iowa does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes The increased expensing allowance under IRC § 179 , as amended by the Tax Cut and Jobs Act applies in computing net income for Iowa state tax purposes for tax years beginning on or after January 1, 2018, subject to the limitations for tax years prior to January 1, 2020. The Iowa Section 179 deduction limitation for tax year 2019 is $100,000 (less than the $1,020,000 federal limit) with a $400,000 phaseout for all taxpayers. Iowa will fully conform to the IRC § 179 deduction amounts beginning in tax year 2020.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Kansas

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Kansas | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Kansas — State conformity to federal Section 179 and bonus depreciation rules


**State:** Kansas

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** rolling conformity

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Kansas conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Kansas conforms to IRC as currently amended. State Follows IRC § 179-TCJA of 2017 : Yes Kansas conforms to the IRC as amended and therefore conforms to the provision of the Tax Cuts and Jobs Act that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Kentucky

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $100,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Kentucky does not conform to bonus depreciation

**Has income tax:** yes

> Yes | | Kentucky | No | No | Sec 179 limit – $100,000 |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Kentucky — State conformity to federal Section 179 and bonus depreciation rules


**State:** Kentucky

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $100,000 (for property placed in service on or after January 1, 2020; IRC § 179 in effect on December 31, 2003)

**State Section 179 phase-out:** phase-out provisions in effect in 2003 do not apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** only the depreciation deduction allowed under IRC § 168 of the Internal Revenue Code in effect on December 31, 2001, exclusive of any amendments made subsequent to that date, are allowed

**IRC conformity date:** IRC as of December 31, 2001 (for depreciation)

**Has income tax:** yes

**Statute or guidance citation:** IRC § 168 in effect on December 31, 2001; IRC § 179 in effect on December 31, 2003

> Yes Kansas conforms to the IRC as amended and therefore conforms to the provision of the Tax Cuts and Jobs Act that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. State Follows Bonus Depreciation-TCJA of 2017 : No Kentucky does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. For property placed in service after September 10, 2001, only the depreciation deduction allowed under IRC § 168 of the Internal Revenue Code in effect on December 31, 2001, exclusive of any amendments made subsequent to that date, are allowed.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

bonus_depreciation_conformity, irc_conformity_date, section_179_conformity, state_section_179_cap, state_section_179_phaseout, statute_citation


**State:** Louisiana

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Louisiana conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Louisiana conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

Louisiana — State conformity to federal Section 179 and bonus depreciation rules


**State:** Maine

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Maine does not conform to bonus depreciation

**Has income tax:** yes

> Maine | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Maine — State conformity to federal Section 179 and bonus depreciation rules


**State:** Maine

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** addition modification applies to all property placed in service in Maine; Maine capital investment credit may be claimed

**IRC conformity date:** IRC as of a specified date

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Maine does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis that is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. For property placed in service in 2015, an addition modification applies to all property placed in service in Maine. For property placed in service in Maine, the Maine capital investment credit may be claimed. State Follows IRC § 179-TCJA of 2017 : Yes Maine conforms to the IRC as of a specified date and so conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Maryland

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Maryland does not conform to bonus depreciation

**Has income tax:** yes

> Yes | | Maryland | No | No | Sec 179 limit – $25,000 |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Maryland — State conformity to federal Section 179 and bonus depreciation rules


**State:** Maryland

**Section 179 conformity:** does not conform

**State Section 179 cap:** does not conform to TCJA increase

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Maryland does not conform to bonus depreciation; adjustment required

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Maryland does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : No Maryland does not conform to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

addback_rule, bonus_depreciation_conformity, has_income_tax, state_section_179_cap, state_section_179_phaseout


**State:** Massachusetts

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Massachusetts does not conform to bonus depreciation

**Has income tax:** yes

> Massachusetts | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Massachusetts — State conformity to federal Section 179 and bonus depreciation rules


**State:** Massachusetts

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Massachusetts specifically decoupled from the federal bonus depreciation provisions under IRC § 168(k)

**IRC conformity date:** rolling conformity

**Has income tax:** yes

**Statute or guidance citation:** IRC § 168(k)

> State Follows Bonus Depreciation-TCJA of 2017 : No Massachusetts does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Massachusetts specifically decoupled from the federal bonus depreciation provisions under IRC § 168(k). State Follows IRC § 179-TCJA of 2017 : Yes Massachusetts conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. Massachusetts adopts the IRC as amended and in effect for the taxable year.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

bonus_depreciation_conformity, irc_conformity_date, state_section_179_cap, state_section_179_phaseout


**State:** Michigan

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Michigan does not conform to bonus depreciation

**Has income tax:** yes

> Michigan | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Michigan — State conformity to federal Section 179 and bonus depreciation rules


**State:** Michigan

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies (if taxpayer elects to use current IRC)

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** current IRC (if taxpayer elects)

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Michigan conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after 9/27/2017, and before 1/1/2023 if taxpayer elects to use current IRC. State Follows IRC § 179-TCJA of 2017 : Yes Michigan conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation, if the taxpayer elects to use the current IRC.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Minnesota

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Bonus Depreciation – 20% the first year, the rest equally over the next 5 years

**Has income tax:** yes

> Minnesota | Over 6 years | Yes | Bonus Depreciation – 20% the first year, the rest equally over the next 5 years

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Minnesota — State conformity to federal Section 179 and bonus depreciation rules


**State:** Minnesota

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies (full conformity beginning tax year 2020)

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Taxpayers must add back 80% of the federal depreciation bonus to their Minnesota return in the first year and then 20% of the addback amount can be subtracted in each of the next 5 years

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Minnesota does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Taxpayers must add back 80% of the federal depreciation bonus to their Minnesota return in the first year and then 20% of the addback amount can be subtracted in each of the next 5 years. State Follows IRC § 179-TCJA of 2017 : Yes Minnesota fully conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Mississippi

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Mississippi | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Mississippi — State conformity to federal Section 179 and bonus depreciation rules


**State:** Mississippi

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** partial conformity

**Add-back rule:** Mississippi regulations provide that bonus depreciation is not considered 'reasonable.' However, effective July 1, 2021, Mississippi expressly provides that, for new or used aircraft, equipment, engines, or other parts and tools used for aviation, the allowance for bonus depreciation conforms to federal bonus depreciation rates. For tax years beginning after December 31, 2022, expenditures for business assets that are qualified property or qualified improvement property are eligible for 100% bonus depreciation.

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Partial Mississippi partially conforms to the provision of the Tax Cuts and Jobs Act that provides a 100% first-year deduction for the adjusted basis that is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Generally, Mississippi allows for a "reasonable" allowance for depreciation, and Mississippi regulations provide that bonus depreciation is not considered "reasonable." However, effective July 1, 2021, Mississippi expressly provides that, for new or used aircraft, equipment, engines, or other parts and tools used for aviation, the allowance for bonus depreciation conforms to federal bonus depreciation rates, and the "reasonable allowance" for depreciation is 100%. For the purpose of computing income tax for tax years beginning after December 31, 2022, expenditures for business assets that are qualified property or qualified improvement property are eligible for 100% bonus depreciation and may be deducted as an expense incurred by the taxpayer during the tax year during which the property is placed in service, notwithstanding any changes to federal law related to cost recovery beginning on January 1, 2023, or on any other date. State Follows IRC § 179-TCJA of 2017 : Yes Mississippi conforms to the provision of the Tax Cuts and Jobs Act that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. Mississippi follows IRC § 179 expensing rules.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Missouri

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Missouri | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Missouri — State conformity to federal Section 179 and bonus depreciation rules


**State:** Missouri

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** rolling conformity

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Missouri conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Missouri adopts the Internal Revenue Code of 1986 as amended and in effect for the taxable year. State Follows IRC § 179-TCJA of 2017 : Yes Missouri conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. Missouri adopts the IRC as amended for the taxable year

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Montana

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Montana | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Montana — State conformity to federal Section 179 and bonus depreciation rules


**State:** Montana

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** rolling conformity

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Montana follows federal law. State Follows IRC § 179-TCJA of 2017 : Yes Montana follows federal law and so conforms to the conforms to the provisions of the Tax Cuts and Jobs Act that increase the maximum amount a taxpayer may expense under IRC Sec. 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Nebraska

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Nebraska conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Nebraska conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

Nebraska — State conformity to federal Section 179 and bonus depreciation rules


**State:** Nevada

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** N/A

**Add-back rule:** N/A

**IRC conformity date:** N/A

**Has income tax:** no

> If your state does not levy a traditional personal or corporate income tax, Section 179 may not impact state income tax.

Source: <https://www.section179.org/section_179_by_state/>

Nevada — State conformity to federal Section 179 and bonus depreciation rules


**State:** New Hampshire

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $500,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** New Hampshire does not conform to bonus depreciation

**Has income tax:** yes

> Yes | | New Hampshire | No | No | Sec 179 limit – $500,000 |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

New Hampshire — State conformity to federal Section 179 and bonus depreciation rules


**State:** New Hampshire

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** N/A

**Add-back rule:** N/A

**IRC conformity date:** N/A

**Has income tax:** no

> State Follows Bonus Depreciation-TCJA of 2017 : N/A New Hampshire taxes only interest, dividends and gambling winnings. No deductions are allowed. State Follows IRC § 179-TCJA of 2017 : N/A

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** New Jersey

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** New Jersey does not conform to bonus depreciation

**Has income tax:** yes

> Yes | | New Hampshire | No | No | Sec 179 limit – $500,000 | New Jersey | No | No | Sec 179 limit – $25,000 |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

New Jersey — State conformity to federal Section 179 and bonus depreciation rules


**State:** New Jersey

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** $25,000

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** state requires add-back of bonus depreciation

**Has income tax:** yes

> New Jersey caps it at $25,000 too.

Source: <https://ecomcpa.com/when-federal-100-bonus-depreciation-doesnt-travel-the-state-conformity-headache-for-ecommerce-sellers-in-2026/>


**State:** New Jersey

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** IRC as it was in effect on December 31, 2002

**State Section 179 phase-out:** state rules apply (IRC as of December 31, 2002)

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** New Jersey is tied to federal depreciation rules that were in effect on December 31, 2001

**IRC conformity date:** IRC as of December 31, 2002 (Section 179); IRC as of December 31, 2001 (depreciation)

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No New Jersey is tied to federal depreciation rules that were in effect on December 31, 2001. Thus, New Jersey does not conform to the provision of the Tax Cuts and Jobs Act of 2017. State Follows IRC § 179-TCJA of 2017 : No New Jersey does not conform to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. New Jersey conforms to the IRC as it was in effect on December 31, 2002 and does not conform to the enhanced expenses set forth in the Tax Cuts and Jobs Act of 2017.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** New Mexico

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes New Mexico conforms conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes New Mexico conforms conform to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

New Mexico — State conformity to federal Section 179 and bonus depreciation rules


**State:** New York

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** New York does not conform to bonus depreciation

**Has income tax:** yes

> New York | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

New York — State conformity to federal Section 179 and bonus depreciation rules


**State:** New York

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies (but New York disallows IRC § 179 for SUVs that are not passenger automobiles as defined in IRC § 280F(d)(5))

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** New York does not conform to bonus depreciation; adjustment required

**Has income tax:** yes

**Statute or guidance citation:** IRC § 280F(d)(5)

> State Follows Bonus Depreciation-TCJA of 2017 : No New York does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes New York conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. However, New York disallows the amount of any deduction claimed pursuant to IRC § 179 for a sport utility vehicle (SUV) which is not a passenger automobile as defined in IRC § 280F(d)(5).

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** North Carolina

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** 15% first year, 20% each year for next 5 years

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Bonus Depreciation & Sec 179– 15% 1st yr, 20% each year for next 5 years

**Has income tax:** yes

> North Carolina | Over 6 years | Over 6 years | Bonus Depreciation & Sec 179– 15% 1 st yr, 20% each year for next 5 years

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

North Carolina — State conformity to federal Section 179 and bonus depreciation rules

bonus_depreciation_conformity, has_income_tax, section_179_conformity, state_section_179_phaseout


**State:** North Carolina

**Section 179 conformity:** does not conform

**State Section 179 cap:** adjustments must be made

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** adjustments must be made

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No North Carolina does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Adjustments must be made. State Follows IRC § 179-TCJA of 2017 : No North Carolina does not conform to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. Adjustments must be made.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** North Dakota

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> North Dakota | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

North Dakota — State conformity to federal Section 179 and bonus depreciation rules


**State:** North Dakota

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** rolling conformity

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes North Dakota follows federal law, and so conforms to the provision of the Tax Cuts and Jobs Act that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023 (after September 27, 2017, and before January 1, 2024, for certain property with longer production periods). North Dakota also conforms to the technical correction to the TCJA contained in the CARES Act. State Follows IRC § 179-TCJA of 2017 : Yes North Dakota conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Ohio

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** 1/6 first year, 1/5 each year for the next 5 years

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Bonus Depreciation/Sec 179 – 1/6 1st year, 1/5 each year for the next 5 years

**Has income tax:** yes

> Ohio | Over 6 years | Over 6 years | Bonus Depreciation/Sec 179 – 1/6 1 st year, 1/5 each year for the next 5 years

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Ohio — State conformity to federal Section 179 and bonus depreciation rules


**State:** Ohio

**Section 179 conformity:** conforms with state cap

**State Section 179 cap:** add back five-sixths of the excess of the IRC section 179 amount allowed over the amount which would have been allowed based upon IRC section 179 in effect on December 31, 2002; deduct 1/5 of the qualifying section 179 amounts added back on a previous year's tax report

**State Section 179 phase-out:** state rules apply (IRC as of December 31, 2002)

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Ohio has decoupled from the changes made by the TCJA to IRC § 168(k)

**IRC conformity date:** IRC as of a specified date

**Has income tax:** yes

> Yes New York conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. However, New York disallows the amount of any deduction claimed pursuant to IRC § 179 for a sport utility vehicle (SUV) which is not a passenger automobile as defined in IRC § 280F(d)(5). State Follows Bonus Depreciation-TCJA of 2017 : N/A State Follows IRC § 179-TCJA of 2017 : N/A State Follows Bonus Depreciation-TCJA of 2017 : No Ohio conforms to the IRC as of a specified date (see ¶55,505 ), and so it has adopted the changes made by the Tax Cuts and Jobs Act.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Oklahoma

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Oklahoma conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. For taxable years beginning after December 31, 2021, Oklahoma permanently provides taxpayers the option to immediately and fully expense certain business assets eligible for 100% bonus depreciation, deductible as an incurred expense during the taxable year in which the property is placed in service. State Follows IRC § 179-TCJA of 2017 : N/A

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

Oklahoma — State conformity to federal Section 179 and bonus depreciation rules


**State:** Oregon

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Oregon conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Oregon conforms to the provision of the Tax Cuts and Jobs Act that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>

Oregon — State conformity to federal Section 179 and bonus depreciation rules


**State:** Pennsylvania

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Pennsylvania does not conform to bonus depreciation

**Has income tax:** yes

> Pennsylvania | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Pennsylvania — State conformity to federal Section 179 and bonus depreciation rules


**State:** Pennsylvania

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies (effective January 1, 2023; for tax years 2003 through 2022, $25,000 with $200,000 phase-out)

**State Section 179 phase-out:** federal phase-out applies (effective January 1, 2023)

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Pennsylvania does not conform to bonus depreciation and does not follow the technical correction for qualified improvement property for property placed in service after Dec. 31, 2017 enacted under the CARES Act

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Pennsylvania does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Nor does Pennsylvania follow the technical correction for qualified improvement property for property placed in service after Dec. 31, 2017 enacted under the Coronavirus Aid, Relief, and Economic Security Act (CARES ACT). State Follows IRC § 179-TCJA of 2017 : No Effective January 1, 2023, Pennsylvania conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. For tax years 2003 through 2022, for personal income tax purposes, Pennsylvania maintained the $25,000 pre-2003 expense election limit with a phase out of the deduction property with an aggregate cost exceeding $200,000.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Rhode Island

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Rhode Island does not conform to bonus depreciation

**Has income tax:** yes

> Rhode Island | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Rhode Island — State conformity to federal Section 179 and bonus depreciation rules


**State:** Rhode Island

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Rhode Island does not conform to bonus depreciation; adjustment required

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Rhode Island does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Rhode Island conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** South Carolina

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** South Carolina does not conform to bonus depreciation

**Has income tax:** yes

> South Carolina | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

South Carolina — State conformity to federal Section 179 and bonus depreciation rules


**State:** South Carolina

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** South Carolina does not allow bonus depreciation. Addition or subtraction is required for the difference in depreciation expense claimed for federal purposes and the amount allowed for state purposes.

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No South Carolina does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis that is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. South Carolina does not allow bonus depreciation. Addition or subtraction is required for the difference in depreciation expense claimed for federal purposes and the amount allowed for state purposes. State Follows IRC § 179-TCJA of 2017 : Yes South Carolina conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** South Dakota

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** N/A

**Add-back rule:** N/A

**IRC conformity date:** N/A

**Has income tax:** no

> If your state does not levy a traditional personal or corporate income tax, Section 179 may not impact state income tax.

Source: <https://www.section179.org/section_179_by_state/>

South Dakota — State conformity to federal Section 179 and bonus depreciation rules


**State:** Tennessee

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Tennessee is listed among states that decouple from bonus depreciation

**Has income tax:** no

> The decoupled list for 2026 includes California, New York, New Jersey, Pennsylvania, Massachusetts, the District of Columbia, Connecticut, Maryland, Tennessee, North Carolina, Indiana, and Wisconsin, among others.

Source: <https://ecomcpa.com/when-federal-100-bonus-depreciation-doesnt-travel-the-state-conformity-headache-for-ecommerce-sellers-in-2026/>

Tennessee — State conformity to federal Section 179 and bonus depreciation rules


**State:** Texas

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** N/A

**Add-back rule:** N/A

**IRC conformity date:** N/A

**Has income tax:** no

> If your state does not levy a traditional personal or corporate income tax, Section 179 may not impact state income tax.

Source: <https://www.section179.org/section_179_by_state/>

Texas — State conformity to federal Section 179 and bonus depreciation rules


**State:** Utah

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**Has income tax:** yes

> Utah | Yes | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Utah — State conformity to federal Section 179 and bonus depreciation rules


**State:** Utah

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** rolling conformity

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes Utah conforms to the Tax Cuts and Jobs Act of 2017 provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : Yes Utah conforms to the federal code with a floating conformity date.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Vermont

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Vermont does not conform to bonus depreciation

**Has income tax:** yes

> Vermont | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Vermont — State conformity to federal Section 179 and bonus depreciation rules


**State:** Vermont

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Vermont has decoupled from the federal bonus depreciation provision

**IRC conformity date:** IRC as amended through a specific date

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Vermont does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Vermont has decoupled from the federal bonus depreciation provision. State Follows IRC § 179-TCJA of 2017 : Yes Vermont conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. Vermont conforms to the federal code as amended through a specific date, so it adopts the changes from the Tax Cuts and Jobs Act.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Virginia

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Virginia does not conform to bonus depreciation

**Has income tax:** yes

> Virginia | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Virginia — State conformity to federal Section 179 and bonus depreciation rules


**State:** Virginia

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Virginia disallows any bonus depreciation for certain assets under IRC § 168(k)

**Has income tax:** yes

**Statute or guidance citation:** IRC § 168(k)

> State Follows Bonus Depreciation-TCJA of 2017 : No Virginia does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. Virginia disallows any bonus depreciation for certain assets under IRC § 168(k). State Follows IRC § 179-TCJA of 2017 : Yes Virginia conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Washington

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** N/A

**Add-back rule:** N/A

**IRC conformity date:** N/A

**Has income tax:** no

> If your state does not levy a traditional personal or corporate income tax, Section 179 may not impact state income tax.

Source: <https://www.section179.org/section_179_by_state/>

Washington — State conformity to federal Section 179 and bonus depreciation rules


**State:** West Virginia

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** West Virginia does not conform to bonus depreciation

**Has income tax:** yes

> West Virginia | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

West Virginia — State conformity to federal Section 179 and bonus depreciation rules


**State:** West Virginia

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** conforms

**Add-back rule:** N/A

**IRC conformity date:** IRC as amended in 2019

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : Yes West Virginia conforms to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after 09/27/2017, and before 01/01/2023. The state conforms to all amendments made to the IRC in 2018. State Follows IRC § 179-TCJA of 2017 : Yes West Virginia conforms to the Tax Cuts and Jobs Act provision that increases the maximum amount a taxpayer may expense under IRC § 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation. The state adopts all amendments made to the IRC in 2019.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Wisconsin

**Section 179 conformity:** conforms

**State Section 179 cap:** federal limit applies

**State Section 179 phase-out:** federal phase-out applies

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Wisconsin does not conform to bonus depreciation

**Has income tax:** yes

> Wisconsin | No | Yes |

Source: <https://www.crosslinktax.com/customer-resources/tax-resource-center/tax-updates/state-compliance-with-federal-bonus-depreciation-and-section-179-expensing-2025/>

Wisconsin — State conformity to federal Section 179 and bonus depreciation rules


**State:** Wisconsin

**Section 179 conformity:** does not conform

**State Section 179 cap:** does not conform to TCJA increase

**State Section 179 phase-out:** state rules apply

**Bonus depreciation conformity:** decouples — requires add-back

**Add-back rule:** Wisconsin does not conform to bonus depreciation; adjustment required

**Has income tax:** yes

> State Follows Bonus Depreciation-TCJA of 2017 : No Wisconsin does not conform to the Tax Cuts and Jobs Act provision that provides a 100% first-year deduction for the adjusted basis is allowed for qualified property acquired and placed in service after September 27, 2017, and before January 1, 2023. State Follows IRC § 179-TCJA of 2017 : No Wisconsin does not conform to the Tax Cuts and Jobs Act of 2017 provision that increases the maximum amount a taxpayer may expense under IRC Section 179 to $1 million, increases the phase-out threshold amount to $2.5 million, and provides for indexing for inflation.

Source: <https://accountants.intuit.com/support/en-us/help-article/asset-depreciation/state-conformity-special-depreciation-allowance/L27kRyetJ_US_en_US>


**State:** Wyoming

**Section 179 conformity:** N/A

**State Section 179 cap:** N/A

**State Section 179 phase-out:** N/A

**Bonus depreciation conformity:** N/A

**Add-back rule:** N/A

**IRC conformity date:** N/A

**Has income tax:** no

> If your state does not levy a traditional personal or corporate income tax, Section 179 may not impact state income tax.

Source: <https://www.section179.org/section_179_by_state/>

Wyoming — State conformity to federal Section 179 and bonus depreciation rules