Section 179 Year End Tax Incentive Info

Be sure to contact your accountant to see if your business will benefit from section 179 this year. Go to www.section179.org to learn more.

The deduction limit for Section 179 is $1,000,000, while the limit on equipment purchases is at $2.5 million. The bonus depreciation is 100% and includes used equipment.

See the fully updated 2020 Section 179 Calculator to see how this tax deduction affects your company.

News Alert: See the IRS Fact Sheet issued for Section 179
The IRS released Fact sheet FS-2018-9 provides info on Section 179 deductions including temporary 100 percent bonus depreciation, changes to depreciation limitations on vehicles used for business, new treatment of farm equipment, and the recovery period for real property.  Read the new IRS Fact sheet here: New Rules and Limitations for Depreciation and Expensing under the Tax Cuts and Jobs Act.

A Work Truck is generally considered Section 179 property for U.S. Federal Income Tax purposes. This means a taxpayer may elect to treat the cost of any Section 179 property as an expense and allowed as a deduction for the taxable year in which the property is acquired and placed in service. A qualifying business may expense up to $1,020,000 of Section 179 property during 2020.

The vehicles below qualify for the Section 179 Tax Credit:

Chevrolet:

• SILVERADO WT 1500 and up
• EXPRESS CARGO VAN 
• CUTAWAY EXPRESS
• SUBURBAN C1500
• SUBURBAN K1500
• TAHOE 2WD & 4WD LS
• TAHOE HYBRID
• TRAVERSE 2WD & 4WD

Isuzu:

• All Isuzu Low Cab Forward Trucks

RAM:

• RAM ProMaster
• RAM ProMaster City
• RAM 1500 and up

Dodge:

• DODGE DURANGO 2WD & 4WD
• DODGE GRAND CARAVAN

Volvo:

• XC90

​Section 179 expires at midnight, December 31, 2020. So to take advantage of Section 179 this year, you must buy (or lease/finance) your equipment, and put it into use by December 31, 2020.

Call us at 1-855-829-1269 to learn more.

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