Thanks to the 2017 IRS Tax Cuts and Jobs Act, many small businesses that invest in new equipment, including qualifying new vehicles, will be able to write-off up to the entire purchase cost of these purchases on their 2018 IRS tax returns.
What is the urgency???
For tax year 2018, the qualifying new vehicle must be purchased before December 31, 2018.
What is the catch???
It must be used at least 50 percent for business, based on mileage, in the first year. The cost eligible for the deduction would be the percentage used for business.
2018 TAX WRITE-OFF EXAMPLES FOR QUALIFYING SMALL BUSINESSES
Deduct up to the entire purchase cost on your 2018 IRS tax return.
(applies to all trucks, vans and suv's rated over 6,000 lbs. GVWR)
- F-150 (all cab styles and bed lengths)
- F-250/F-350 Super Duty
- Transit Cargo & Passenger Van
Deduct up to $18,000 of the purchase cost on your 2018 IRS tax return.
(applies to all trucks, vans and suv's rated less than 6,000 lbs. GVWR)
- Transit Connect Cargo & Passenger Van
NOTE: This analysis is provided as a public service to our customers. It should not be construed as tax advice or as a promise of potential tax savings or reduced tax liability. Consult your tax professional prior to any vehicle transaction. For more information about any vehicle write-offs, contact your tax professional and visit the Internal Revenue Service website at https://www.irs.gov