Section 179 Deduction


Section 179 Deduction FAQ: 2018 Fleet & Commercial Vehicle Tax Rules

Need more details about the Section 179 tax break and if your business is eligible to deduct expenses on a company car or fleet of commercial vehicles? Take a look at our Section 179 FAQ to get answers to all your tax deduction questions for 2018.


What is the Section 179 vehicle deduction program?

Under the IRS tax code, Section 179 allows business owners to write off the purchase price of qualifying commercial vehicles within the tax year. Many businesses are able to deduct tax on fleet cars, commercial vans, work trucks, and similarly sized vehicles.

You can review additional Section 179 documentation at www.section179.org or congress.org.  We also recommend seeking the advice of a tax professional or a salesperson at our Weston Nissan Commercial Vehicles dealer for more information and personalized options.

Which vehicles qualify as business expenses under Section 179 rules in 2018?

Most vehicles that aren't categorized as "personal automobiles" qualify for the full Section 179 tax deduction, including heavy "non-SUV" vehicles, work vans, large trucks, and buses. If a vehicle is used partially for business purposes (the "business usage rate"), it can be partially deducted per federal guidelines; certain SUVs and crossovers with a gross weight under 14,000 pounds can be written off as a fully taxable business expense.

While taxes on all Nissan business cars can be deducted, the most common Nissan commercial models that are eligible for this IRS tax break include:

For more information about purchasing or leasing a fleet vehicle or Nissan commercial van in Davie, FL, call or visit Weston Nissan.


How much can I deduct on qualifying vehicles?

Commercial vehicle tax deduction limits for 2018 vary by vehicle weight and business usage rate (50% or higher, typically).

  •          $11,160 for passenger and company cars, including the Nissan Sentra, Altima, and LEAF.
  •          $11,560 for certain SUVs, trucks, and vans, including the Nissan Frontier, JUKE, Rogue Sport, and NV200 Cargo.
  •          $25,000 for larger vehicles, including the Nissan TITAN XD, NV Passenger, and NV Cargo.

The Section 179 vehicle tax incentives allow you to deduct up to $1 million for qualifying commercial automobile expenses, capping out at $2.5 million per company. Bonus depreciation write-offs are available, though they also vary by business usage rate. More detailed information regarding commercial vehicle tax limits, restrictions, and caps are available in this IRS Section 179 document.


Do I have to buy a new commercial van to get the Section 179 tax break?

Not at all! If the vehicle is new to your business, its purchase price can be deducted at the end of the tax year. However, the commercial vehicle must be purchased, financed, or leased during that tax year, even if not immediately put into service.


How can I receive a Nissan Commercial Vehicle quote?

For business owners in or around Miami, FL, we invite you to call our Weston Nissan Commercial Vehicle specialists at 877-371-7711 to discuss your options. Purchasing, leasing, or financing a fleet of Nissan business vans, trucks, or company cars may save you more than $1 million after taking full advantage of the Section 179 tax deduction!


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