Checkmark iconCan I Write This Off?

How do I deduct cars over 6000 lbs on my taxes?

TL;DR

Yes, vehicles over 6000 lbs can be deductible under certain conditions.

Detailed Answer

Vehicles over 6000 lbs can qualify for a Section 179 deduction, allowing businesses to deduct the full purchase price of qualifying equipment purchased or financed during the tax year. However, the vehicle must be used more than 50% for business purposes and meet specific weight and usage criteria. The deduction is subject to limits and phase-outs based on the total amount of equipment purchased during the year.

Where to Put It on the Tax Form

Form 4562, Depreciation and Amortization

Real World Example

A construction company purchases a new heavy-duty truck weighing 7000 lbs for $50,000. The truck is used 80% for business purposes. The company can deduct a significant portion of the truck's cost using Section 179, subject to the annual limits.

Calculation Required

A calculation is required for this deduction.

Calculate the business use percentage of the vehicle and apply it to the purchase price to determine the deductible amount. Ensure it does not exceed the Section 179 limits.

Audit Risk & Documentation Tips

Maintain detailed mileage logs and records of business use. Keep purchase receipts and documentation proving the vehicle's weight and business use percentage to support the deduction in case of an audit.

IRS Reference

IRS Publication 946, How to Depreciate Property; IRS Code Section 179

Relevant Industries

Small BusinessConstructionReal EstateTransportation

Popular Related Pages

Disclaimer: This is for informational purposes only and should not be construed as tax or legal advice. Always consult your tax advisor.

Page created on July 15, 2025

Back to Search