If you’re considering a new Atlassian implementation or migrating your systems to Atlassian, 2025 is the perfect time to act. Thanks to Section 179 and Bonus Depreciation, businesses can deduct the full cost of Atlassian implementation services from their taxes much faster than before. In other words, modernizing your business with Atlassian can now deliver both operational and financial benefits.
Section 179 allows businesses to deduct the entire purchase price of qualifying off-the-shelf software as well as related implementation and migration services, in the same year they’re put into service. For 2025, the deduction limit is $1,220,000.
Bonus Depreciation goes even further, letting companies write off 40% of qualifying costs immediately in 2025. However, this percentage drops to 20% in 2026 and may disappear entirely unless extended by Congress in 2027. Acting soon means maximizing your tax savings.
For organizations planning new Atlassian implementations or migrations, these tax incentives create a powerful financial advantage. Instead of spreading deductions over several years, you can write off your full investment in year one—significantly reducing your tax bill and accelerating your return on investment. This means you can modernize your collaboration, project management, and service delivery platforms while keeping more cash on hand for other priorities.
With Bonus Depreciation phasing down over the next few years, the window to maximize these savings is closing fast.
Section 179 deductions are limited to your taxable income and can’t create a net loss.
The software must be off-the-shelf and placed in service by year-end, so plan your Atlassian implementation or migration timeline accordingly.
Bonus Depreciation applies to both new and used property, but the percentage is dropping quickly.
Always consult with a tax advisor to ensure your Atlassian project qualifies and to document purchase and service dates properly.
Modernizing your business with a new Atlassian implementation or migration in 2025 isn’t just about improving collaboration and efficiency—it’s also a smart financial move. With Section 179 and Bonus Depreciation, your investment in Atlassian services could pay for itself faster by reducing your tax bill this year.
Don’t wait—the opportunity to maximize your savings is here, but the clock is ticking.