For business owners, this year offers what may be a last-chance opportunity for an enhanced deduction: 100% bonus depreciation is scheduled to expire December 31. The increased Section 179 expensing of up to $500,000 is also slated to shrink after the end of the year.

Synchronize these two tax benefits with your asset purchase plan before year-end to make the most of 2011 deductions. For instance, you can apply the Section 179 deduction to used property, while bonus depreciation is available only for new assets you buy and place in service in 2011. One caution: Some states do not follow federal bonus depreciation rules.