How do I deduct 6000 pound vehicle tax deduction on my taxes?
The IRS allows a Section 179 deduction for vehicles over 6,000 pounds gross vehicle weight (GVW) used more than 50% for business purposes. This deduction allows you to expense up to a certain amount of the vehicle's cost in the year it is placed in service, rather than depreciating it over several years. For 2023, the maximum Section 179 deduction for SUVs is limited to $28,900. Vehicles like heavy trucks and vans may qualify for a higher deduction. To qualify, the vehicle must be used more than 50% for business, and the deduction cannot exceed the taxable income from the business. If the business use falls below 50% in subsequent years, you may have to recapture some of the deduction.