🏛️ Multi-State Tax Analysis • Compare State Conformity Rules
50-State Section 179 Comparison Matrix
Compare first-year deduction caps, bonus depreciation conformity, and state add-back adjustments side-by-side across major commercial states.
Side-by-Side State Tax Conformity Comparison (2026 Rules)
🛡️ Updated for Rev. Proc. 2025-50
| State Jurisdiction | State Section 179 Cap | Phase-Out Threshold | State Bonus Depreciation | Statutory Code Citation | State Conformity Status |
|---|---|---|---|---|---|
| California (CA) | $25,000 | $200,000 | Disallowed (0%) | CA Rev. & Tax Code § 17201 |
Strict Non-Conformity |
| Texas (TX) | $1,220,000 | $3,050,000 | 100% Conforming | Tex. Tax Code § 171.1011 |
Full Alignment (0% Income Tax) |
| Wyoming (WY) | $1,220,000 | $3,050,000 | 100% Conforming | Wyo. Stat. § 39-13-107 |
Full Alignment (0% Income Tax) |
| Florida (FL) | $1,220,000 | $3,050,000 | 100% Conforming | Fla. Stat. § 220.13 |
Full Corporate Alignment |
| New York (NY) | $1,220,000 | $3,050,000 | Disallowed (Add-Back) | N.Y. Tax Law § 612(k) |
Partial Conformity |
| Pennsylvania (PA) | $25,000 | $200,000 | Disallowed (0%) | 72 P.S. § 7303 |
Strict Non-Conformity |
| New Jersey (NJ) | $25,000 | $200,000 | Disallowed (0%) | N.J.S.A. § 54A:5-1 |
Strict Non-Conformity |
| Georgia (GA) | $1,220,000 | $3,050,000 | Disallowed (Add-Back) | O.C.G.A. § 48-7-21 |
Partial Conformity |
Why State Section 179 Non-Conformity Matters for Multi-State Businesses
While federal tax law allows an immediate first-year Section 179 expensing deduction up to $1,220,000 under Treasury Revenue Procedure 2025-50, state income tax treatment varies dramatically. States like California ($25k cap), Pennsylvania ($25k cap), and New Jersey ($25k cap) refuse to conform to expanded federal limits, requiring taxpayers to calculate separate state depreciation schedules on state returns.