IRS Section 179 - 100% Deduction Business Vehicle over 6,000 LBS

Off-Ramp
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I am looking for a second business vehicle for commercial real estate. I do a lot of driving and client tours. I would like to take advantage of IRS section 179 and get a new vehicle before years end to also offset some 1099 income.

It seems that it would be best to purchase the vehicle with financing and depreciate 100% of the cost of the vehicle this. I did read that you can also lease a vehicle and depreciate 100% of its cost in the first year using Section 179. Has anyone done this and leased vs purchase?

Also If I decide to go the purchase route and depreciate 100% of the cost of the vehicle this year, can I reimburse for mileage and such in subsequent years?

Thank you!

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These are questions that really should be directed at your cpa

6 Likes
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What he said ^

I believe you have the info twisted up too; a bunch of random internet people are just going to tell you what they do and they will all say the same thing “you really need to reach out to a CPA”.

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Query your CPA at most its an hour of their time

1 Like
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Moving to Off Ramp since 179 is a purchase-only deduction.

It’s been discussed many times if you search, and the advice is always the same

https://forum.leasehackr.com/search?context=topic&context_id=321969&q=Section%20179&skip_context=true

Nobody here knows your specific situation or how best to address it.

4 Likes
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You can’t take section 179 on a vehicle. 6k+ pound vehicle will give you extra depreciation