Business owners considering a new business vehicle might qualify for a substantial tax deduction through Section 179 of the IRS tax code. Sean O’Hare, New England accountant of O’Hare Associates and Tax Debt Assistance supplied the facts to Washington Post for this sponsored short video by General Motors Fleet to explain more:
According to the official website for Section 179 “For passenger vehicles, trucks, and vans, that are used more than 50% for qualified business purposes, the total deduction for depreciation including both the Section 179 expense deduction as well as Bonus Depreciation is limited to $11,060 for cars and $11,160 for trucks and vans.”
Exceptions include the following vehicles:
- Ambulance or hearse used specifically in your business;
- Hearse used specifically in your business;
- Taxis, transport vans, and other vehicles used to transport people or property for hire;
- Qualified non-personal use vehicles modified for business
You have until December 31, so make sure you take the opportunity to see if you qualify lower your tax liability and your vehicle costs.
Be sure to work with your accountant to check your Section 179 eligibility and the impact it may have on your tax return. Our New England accounting team works with businesses of all sizes.
If you need an experienced New England accountant, give us a call at (855) 479-2400. We are here to help.