Section 179 Tax Deduction Information

New Mercedes-Benz Sprinter

 Section 179 Tax Deduction Information

What is Section 179 Deduction for Vehicles?

The Section 179 of the IRS tax code allows businesses to deduct the full purchase costs of any qualifying vehicles that are bought or financed during the tax year. In other words, if you buy or lease a car for your business, you may qualify to subtract the expense from your income.

Section 179 Deduction at Mercedes-Benz of Fort Mitchell

Buy or lease a qualifying Mercedes-Benz and receive a tax-deduction up to $25,000. Section 179 of the tax code rewards small- and medium-sized companies for investing in themselves by offering a tax break on certain purchases and leases, including eligible new and used Mercedes-Benz vehicles.

The Section 179 Benefit

Normally, the purchase or lease of capital equipment by your company is eligible for depreciation, which is an accounting procedure to deduct the expense in several annual installments. Section 179 is a special rule for small-to-medium-sized businesses to deduct the cost in the year of purchase or lease-start. This immediate write-off under Section 179, as much as $25,000, may exceed the amount of your payments for the first year. This makes the purchase or lease of an eligible Mercedes-Benz vehicle even more affordable.

What Mercedes-Benz Vehicles Are Eligible for Section 179 Deduction?

Purchasing an eligible vehicle creates a generous tax write-off that can really help your business prosper. The reach of Section 179 encompasses SUVs and crossovers bought or leased by your business that are not typically used for daily personal transportation. Eligibility requires that the vehicle have a gross vehicle weight rating (GVWR) between 6,000 and 14,000 pounds.

  • Sprinter: The ultimate business vehicle, Sprinter is available in Minibus, Cab Chassis, and Van configurations. The powerful Sprinter is ready for immediate upfitting to satisfy your hauling and towing requirements, whatever your industry.

If you are in the market for a Section 179-eligible work vehicle in the Fort Mitchell area, stop by our Mercedes-Benz dealership and inspect our large inventory. We’ll be happy to discuss the great benefits of using a Mercedes-Benz vehicle to collect a Section-179 tax write-off.

Contact “SPRINTER Dan” Tilley at (865) 850-7226 for additional details.