Save Big Before the End of the Year!
Are you aware of the Section 179 deduction for vehicle purchases? Thanks to the Tax Cuts and Jobs Act of 2017, this special deduction was created to encourage businesses to acquire equipment and invest in themselves. Section 179 allows businesses to deduct a large portion of the purchase price of a new or “new to you” commercial vehicle if it’s used primarily for business purposes. With an incentive like that, why wouldn’t you take advantage of these tax savings in 2019? Taking advantage of this incentive is easier than you think. Section 179 of the IRS tax code allows your business to deduct the full purchase price of a vehicle (provided the price is under $2.5 million) if it is purchased or financed in 2019. How does this help your business and your bottom line? It accelerates the vehicle’s depreciation value and enables you to claim the cost of purchase during the first year of ownership, resulting in larger tax savings. As with any tax incentive, there are stipulati