What Is Section 179?
Eligible businesses can use the Section 179 tax deduction to deduct the cost of machinery and certain equipment during tax filing — including vehicles. The initiative, enacted by the U.S. government, was developed to assist small- to medium-sized businesses in reducing their tax burden.
Heavy SUVs like the new Jeep Grand Cherokee and passenger vans such as the Chrysler Pacifica are eligible. New and used commercial vehicles like the Ram 1500 and Ram ProMaster® also qualify, giving businesses a wide range of options for tax savings.
Which Vehicles Are Eligible for Section 179?
Maximize your savings when you buy a van, truck or tax-eligible new Jeep SUV from us. If you’re uncertain about the eligibility criteria for Section 179 or if the commercial vehicle you’re considering is covered, we’re ready to go over the complete list of qualifying options. Some of the new and pre-owned vehicles at Pratt Chrysler Dodge Jeep Ram that qualify for Section 179 may include:
- Chrysler Pacifica
- Dodge Durango
- Dodge Grand Caravan
- Jeep Grand Cherokee
- Jeep Grand Cherokee L
- Jeep Wrangler Unlimited
- Jeep Gladiator Rubicon
- Ram 1500
- Ram 2500
- Ram 3500
- Ram ProMaster®
What Are the Limits of Section 179?
The 2023 Section 179 tax deduction limit is $1,160,000 — an escalation from the previous year.1 Whether you acquire a new commercial truck in Calais, finance a used Ram work van or lease a qualifying Jeep model, it’s crucial that the vehicle purchased or leased is new to your business. Concurrently, the Bonus Depreciation for the current tax year is 80%.
To qualify for Section 179 this year, the vehicle must be engaged for business purposes more than 50% of the time and must be put into service before December 31, 2023. The vehicle’s title must also be under the business’ name.
Additional limits apply to passenger vehicles used for business purposes, so visit us today to learn all you need to know about the Section 179 tax code.
Commercial Ram Dealership Near Me
Have queries about the 2023 Section 179 spending cap? Seeking a list of tax-eligible commercial trucks, vans and more? Contact Pratt Chrysler Dodge Jeep Ram to speak with our team today!
1 Information accurate as of publication. See dealer for details.