Turn Your Ultrasound Investment into a Major Tax Deduction in 2025
Leveraging Section 179 and Bonus Depreciation to Lower Your Tax Bill*
For many private practice owners, the cost of advanced equipment like point-of-care ultrasound can seem like a major financial hurdle. But it doesn’t have to be. By leveraging powerful tax incentives like the IRS Section 179 deduction and Section 168(k) bonus depreciation, you can effectively lower the cost of these investments. This allows you to equip your team with cutting-edge tools, like the Kosmos ultraportable ultrasound system, while simultaneously strengthening your practice’s financial health. Let’s break down how.
Table of Contents
- Turn Your Ultrasound Investment into a Major Tax Deduction in 2025
- Leveraging Section 179 and Bonus Depreciation to Lower Your Tax Bill*
- Foundations of Section 179 Deductions
- Evolution of Section 168(k) Bonus Depreciation
- Ultrasound-Specific Applications and EchoNous Product Examples**
- Tax Savings Examples Tailored to EchoNous Products
- Other Benefits for Ultrasound Purchases
- Strategic Considerations for Small Healthcare Providers
- References
With immediate expensing of up to $2.5 million under the latest 2025 updates, investing in an ultraportable ultrasound system today means turning potential costs into smart savings, freeing up resources to focus on what matters most: exceptional healthcare delivery.
The Kosmos ultrasound system from EchoNous stands out as the premier choice for modern practices, blending cart-benchmarked imaging quality and capabilities with affordability and portability that rivals or surpasses competitors. Kosmos offers advanced features such as automated ejection fraction (LVEF) calculations, CW Doppler, Auto VTI, Auto Doppler, Auto Preset, AI FAST anatomical labeling, automated bladder volume assessments, and more. Adding or improving POCUS capabilities at your practice isn’t just about acquiring equipment—it’s about allowing you and your team to provide better care for your patients, all while qualifying for full tax write-offs that make the investment feel effortless.
These tax incentives, amplified by the recent One Big Beautiful Bill Act (OBBBA) signed in July 2025, transform what could be a sizable outlay into a strategic advantage. For smaller for-profit entities, this could mean modernizing with POCUS equipment—which could include Kosmos Mobile, Kosmos Plus, Kosmos Vascular Access Bundle, or Kosmos Bladder—while minimizing tax liability and maximizing ROI.
This detailed overview dives into the mechanics, legislative updates, and specific applications for these ultrasound investments, providing a comprehensive guide tailored to help you capitalize on these opportunities.
Foundations of Section 179 Deductions
Section 179 permits eligible businesses to expense the full cost of qualifying property in the year it is placed in service, up to specified limits, instead of capitalizing and depreciating it over its useful life.
Qualifying assets encompass tangible personal property used predominantly in trade or business, including machinery, equipment, off-the-shelf software, and certain real property improvements like HVAC systems or security installations.
For healthcare providers in particular, this translates to deductions for diagnostic tools including ultrasound machines, provided they meet criteria like having a determinable useful life exceeding one year (good time to mention: a 5-year warranty comes standard for Kosmos systems) and are not a type of property that tax law specifically excludes or requires to be treated differently (e.g., certain intangibles, like software licenses).
Guidelines also provide technical recommendations, such as using high-frequency linear array transducers for superficial vessels, optimizing image quality settings, employing dynamic needle tip visualization, and ensuring sterile technique. This includes the use of sterile probe covers, sterile gel, and strict adherence to aseptic protocols to reduce infection risk.
The deduction is elective and must be claimed on Form 4562 when filing taxes. Importantly, it is capped by the business’s taxable income from the business’s main operations, and any unused portion of the deduction simply rolls over to future years.
This income limitation ensures the benefit aligns with profitable entities, making it ideal for growing physician practices where ultrasound upgrades can directly enhance revenue through improved patient throughput, diagnostic accuracy, and billing for ultrasound exams.
Following the enactment of the One Big Beautiful Bill Act (OBBBA) on July 4, 2025, the limits for 2025 have been significantly expanded to a $2.5 million maximum deduction with a $4 million phase-out threshold. The phase-out reduces the deduction dollar-for-dollar once purchases exceed the threshold.
For instance, a practice buying $4.5 million in qualifying assets would see its maximum deduction drop to $2 million ($2.5M – $0.5M excess). These changes override prior inflation-adjusted figures, providing more room for investments in advanced equipment like a new Kosmos ultrasound device from EchoNous.
| Tax Year | Max Section 179 Deduction | Phase-Out Threshold | Full Phase-Out At |
| 2024 | $1,220,000 | $3,050,000 | $4,270,000 |
| 2025 (Post-OBBBA) | $2,500,000 | $4,000,000 | $6,500,000 |
This expansion under OBBBA, effective for property placed in service after July 4, 2025, represents a boon for smaller providers, as it accommodates larger or multiple device purchases without rapid phase-outs.
Evolution of Section 168(k) Bonus Depreciation
Bonus depreciation complements Section 179 by allowing an immediate deduction of a percentage of the asset’s cost after applying Section 179. Historically introduced in 2002 and enhanced by the Tax Cuts and Jobs Act (TCJA) of 2017 to 100% for qualified property, it began phasing down: 80% in 2023, 60% in 2024, and slated for 40% in 2025. Qualified property includes new or used assets with a recovery period of 20 years or less under MACRS (the Modified Accelerated Cost Recovery System), such as medical equipment, excluding land improvements or certain utilities unless specified.
The OBBBA dramatically alters this trajectory by permanently reinstating 100% bonus depreciation for assets placed in service after January 19, 2025. This restoration eliminates the phase-out, but includes a transitional election for taxpayers to apply the prior 40% rate on 2025 property if advantageous (e.g., for carryback purposes or state nonconformity).
Unlike Section 179, bonus depreciation can generate net operating losses (NOLs) and has no income cap, offering greater flexibility for practices with variable earnings. Interaction between the two is sequential: Section 179 is applied first to reduce basis, then bonus on the remainder, followed by standard MACRS depreciation.
For example, a $12,000 or $21,00 or $60,000 investment in EchoNous devices could be fully expensed under Section 179 if within limits, or partially via 179 and the rest via 100% bonus.
Ultrasound-Specific Applications and EchoNous Product Examples**
Ultrasound devices unequivocally qualify as tangible personal property for both incentives, as confirmed by industry precedents for medical imaging equipment. Portable units, valued for their mobility in diverse settings, fit perfectly: they are depreciable under MACRS (typically 5-7 years) and used in business for diagnostic purposes.
EchoNous exemplifies this with the Kosmos lineup. With a completely portable solution in Kosmos Mobile priced under $12,000 including 13in iPad and all features with the Torso-One probe, or a complete Kosmos Plus system on a stand with multiple probes priced under $21,000, Kosmos ultrasound devices offer advanced Doppler (PW, CW, TDI), Auto EF, AI FAST, and automated bladder volume calculations.
The Kosmos Vascular Access Bundle (<$12,000) includes Color Doppler and Pulsed Wave for procedures with the Kosmos Lexsa probe. Kosmos Bladder focuses on AI for volume assessments, while Kosmos EDU aids training with educational apps. General POCUS costs range from $5,000 for handhelds to over $100,000 for cart-based models, and EchoNous’ POCUS system options between $8,000 and $21,000 make full deductions feasible under elevated 2025 limits.
| EchoNous Model | Key Features | Approx. Price | Potential Deduction Strategy |
| Kosmos Mobile | Superior portability, probes selection, included iPad, 5-year warranty | ~$8,000 – $12,000+ | Full Section 179 for small practices; 100% bonus for excess |
| Kosmos Plus | Fully-featured ultrasound cart replacement | Est. <$12,000 – ~$21,000) | Full Section 179 for small practices; 100% bonus for excess |
| Kosmos Vascular Access Bundle | Color/Pulsed Wave Doppler, Lexsa probe, stand | <$12,000 | Procedure-focused, quick ROI via expensing |
| Kosmos Bladder | AI-driven bladder volume calculation, Bladder Scanner replacement | Contact for pricing (standalone or add-on) | Specialized tool, may be eligible for full write-off |
| Kosmos EDU | AI-powered educational app for training | Contact for pricing (add-on) | Training enhancement, deductible as software |
Tax Savings Examples Tailored to EchoNous Products
Consider a physician-owned clinic with $300,000 taxable income purchasing a $12,000 Kosmos Mobile system for general point-of-care imaging. Electing Section 179 deducts the full amount, reducing taxable income to $288,000 and saving approximately $4,440 at a 37% marginal rate.
For a growing practice with $500,000 income buying two devices—a $20,500 Kosmos Plus and $11,500 Vascular Access Bundle (total $32,000)—full Section 179 expensing drops income to $468,000, yielding about $11,840 in savings at 37%, while enhancing multi-clinician utility.
In a scenario where a practice has $100,000 taxable income but invests $150,000 in a multi-system setup (e.g., multiple Kosmos Plus, Kosmos Bladder, and accessories), Section 179 is limited to $100,000, with the $50,000 excess eligible for 100% bonus depreciation (post-Jan 19), resulting in a first-year total deduction of $150,000, saving ~$55,500 at 37%, with carryforwards if needed.
If total purchases reach $2.6 million (e.g., multiple Kosmos units plus other equipment), Section 179 phases to $2.4 million, then 100% bonus on the remainder, for potential savings over $962,000 at 37%—though small practices rarely scale this high.
For financed purchases, say a $21,000 Kosmos Plus over 5 years at 6% interest (~$1,260 annual interest): Full expensing saves ~$7,770 at 37%, plus interest deductibility adds ~$466 in year-one savings.
A multi-year approach: A practice with $200,000 income spends $10,000 on a Kosmos Mobile system in 2025 but deducts only $8,000 due to limits; the $2,000 carries forward to 2026, combining with new buys like an additional transducer for compounded savings.
If states conform (many do, but some cap lower), a 5% state rate adds ~$750 on a $15,000 deduction.
Other Benefits for Ultrasound Purchases
Beyond depreciation, if using EchoNous’ AI for developing new protocols (e.g., custom diagnostic workflows), practices may qualify for R&D credits under Section 41, offsetting up to 20% of qualified expenses. Financed interest is deductible as a business expense. Leases structured as purchases may qualify, and energy-efficient features (if any) could tap Section 48 credits, though uncommon for POCUS.
Strategic Considerations for Small Healthcare Providers
Physician-owned practices should prioritize purchases before year-end for placement-in-service rules. Recapture applies if use drops below 50%. State conformity varies; some decouple from federal changes.
With EchoNous, cart-benchmarked image quality and features, with no subscription fees and a robust standard 5-year warranty, may offer clinical and business advantages—amplifying ROI. Model scenarios with IRS worksheets and consult CPAs for optimization amid evolving rules. With OBBBA’s enhancements, 2025 marks a pivotal year for healthcare investment.
Ready to price out Kosmos for your practice?
Get in touch with an EchoNous ultrasound expert today!
References
- Depreciation & recapture | Internal Revenue Service
- OBBBA 2025: How New Tax Rules Change Bonus Depreciation and …
- The One Big Beautiful Bill Breakdown: Section 179
- IRS releases 2025 tax inflation adjustments – RSM US
- Section 179 Deduction: Limits, How It Works in 2025 – NerdWallet
- One, Big, Beautiful Bill provisions | Internal Revenue Service
- 2025 Section 179 Deduction: Complete Guide & Limits
- Bonus depreciation – Overview and FAQs – Thomson Reuters tax
- Additional First Year Depreciation Deduction (Bonus) – FAQ
- Bonus Depreciation Is Back! And Other Big Beautiful Taxes
- Bonus Depreciation: What It Is and How to Claim It – TaxAct Blog
- Bonus Depreciation Rules for 2025 and Beyond – Austin CPA Firm
- Publication 946 (2024), How To Depreciate Property – IRS
- Expanded Depreciation Expensing Under the OBBBA – BDO USA
- What are the new rules for 100% bonus depreciation in 2025?
- Favorable Business Depreciation Tax Changes under New Law
- 2025 Tax Reform: Real Estate Impacts Explained | Cherry Bekaert
- Kosmos AI-driven POCUS device – EchoNous
- Cost of Ultrasound Devices – EchoNous
- How Much Does a Point-of-Care Ultrasound (POCUS) Device Cost?
- EchoNous Kosmos Mobile Portable Ultrasound (Kosmos Torso-One)
- Kosmos POCUS on Apple iOS – EchoNous
- EchoNous: Point of Care Ultrasound Technology (POCUS) With AI
- POCUS for Hospitalists | Kosmos by EchoNous
- AI-guided Point of Care Ultrasound Devices Hit High Demand
- EchoNous’ Kosmos Portable Ultrasound System, USA
*The information provided regarding potential 2025 tax incentives is for illustrative and educational purposes only. To be eligible, equipment must be purchased and placed into service by December 31, 2025. EchoNous does not provide tax advice; please consult your personal tax and financial advisors to determine your specific eligibility and benefits.
** Pricing Disclaimer: Any prices, offers, and promotions featured in this material are quoted in U.S. Dollars and are exclusively for customers within the United States. Pricing, including international pricing, may vary due to local taxes, import duties, shipping, and currency exchange rates. For a quote specific to your location, please contact our sales team or your local EchoNous distributor.
