Tax breaks for business use of a vehicle ??
 

Has anyone heard of this?? I just purchase a 2000 F250 PSD Supercab a few months ago, but I did not know this..

http://www.ford-truck.com/forums/showthread.php?t=324070

Tax breaks for business use of a vehicle: The Tax Relief Act of 2003 allows the deduction of up to $100,000 of the actual cost of trucks (esp. Fords ) with a gross vehicle weight rating that exceeds 6,000 pounds (or greater, perfect for a SD).

You completely deduct the first $25,000 plus a 50% bonus depreciation of the balance. After the first year you get the normal write-offs (depreciation, expenses).

The bonus expires (unless extended retroactive; next year) on 12-31-04.

Bottom line: My '04 F350 cost me a net of $15K (out of pocket, net of rebates and tax savings).

Disclaimer: See your tax expert.

Why drive a Ranger when you can drive a SD for less?

double check on qualifications - updated
 

This was widely called the "Hummer Exemption" for a while. Do a google search on that to find the exact IRS code. That was part of the reason for the explosion in large SUV sales over the last 2 years.

I thought this only worked for new vehicles? You might want to double check that with your tax person.

EDIT:

I checked today and found this article:

http://www.selfemployedweb.com/suv-tax-deduction-6.htm

It apparently works for used vehicles as well. It is called a Section 179 deduction.

Chuck