Toyota Tax Code 179 Deduction Sale

What is the Section 179 vehicle tax deduction?

If you own and operate a small business or large corporation, the Section 179 tax program allows you to write off the cost of any company car or fleet vehicle as a taxable business deduction. We recommended discussing your options with a tax professional as well as a member of the Business Certified team at Sullivan Brothers Toyota.

How much money can I save with the Section 179 deduction?

Commercial car tax caps for 2024 vary by vehicle weight and business usage rate.

• Passenger cars: $20,000 total deduction per vehicle
• Passenger crossovers, vans & trucks: $24,500 total deduction per vehicle
• Heavy trucks & commercial vans: $30,500 total deduction per vehicle

What is a business usage rate?

Any passenger car, truck, SUV, or van (exceptions apply) that is used for business at least 50% of the time is eligible for the Section 179 expense deduction. Many heavy, non-SUV vehicles, like an NV Cargo Van, are automatically eligible for the full tax break, regardless of business usage rate.

All Section 179 fleet vehicles, whether new or used, must be purchased and placed in service before the end of the current tax year to be eligible for this write-off.