 
Reduce Your Tax Liability With The IRS Section 179 Tax Deduction
You can get up to $1,160,000 in tax savings when purchasing vehicles from Bill Walsh Ford in Illinois and taking advantage of the 2023 IRS Section 179 Tax Deduction.
Ford Section 179 Deductions
Near Ottawa IL
Are you looking for ways to cut business costs while boosting performance? We recommend exploring the Section 179 tax deduction. This IRS tax code was designed to help small and medium-sized businesses invest in their growth by allowing them to deduct up to 100% of the expenses for vehicles used for business purposes.
To take advantage of the Section 179 tax savings this year, you must purchase and put your Ford vehicle into service by December 31, 2024. Visit our Ford dealership near Ottawa today to find the new or pre-owned Ford trucks and vans that can elevate your business!
What Are the Section 179 Tax Deduction Limits for 2024?
The Section 179 tax code was designed to primarily support small and medium-sized businesses. As a result, there are specific spending limits that determine how much a company can deduct. For 2024, businesses can deduct up to $1,220,000 through the Section 179 deduction, with a spending cap of $3,050,000. Once this cap is exceeded, the deduction limit begins to phase out, providing significant savings for small and medium operations looking to enhance their business with essential vehicle investments.
Section 179 allows for a deduction of up to 100% of the costs for qualifying commercial vehicles. Additionally, you can also utilize partial Section 179 deductions for traditional passenger vehicles that are used for business at least 50% of the time. If you’re wondering whether used cars qualify for Section 179, they do! Just remember, the vehicle needs to be "new to you."
How Do I Qualify For Section 179 Deduction?
If you own a car and use it for business, the IRS allows this, but there are limits on the amount you can depreciate and deduct from your taxes. The deduction limit is $1,220,000 for vehicles used by you or other passengers (in addition to any purchase costs that may accumulate).
For trucks and SUVs with a Gross Vehicle Weight Rating (GVWR) over 6,000 lbs, a partial deduction is available if the business use exceeds 50%. However, the deduction limits can vary depending on the type of vehicle.
Vehicles weighing between 6,000 lbs. and 14,000 lbs. that are used for business at least 50% of the time generally qualify for the following deductions:
- Pickup trucks with a full-size (8’) cargo bed
- Heavy SUVs – with a maximum deduction cap of $30,500 for 2024. The conditions require that you must purchase your vehicle before December 31st, 2024.
Note: The deduction for business vehicles is the same regardless of whether it is a lease, purchased, or financed.
For more information please visit Section179.org.
Which Ford Vehicles Are Eligible for Section 179??
There are many new Ford models and used vehicles that are eligible for Section 179 deductions, including:
- Ford F-150
- Ford Super Duty®
- Ford Transit
- Ford Explorer
- Ford Expedition
Purchase Your Next Ford Business Vehicle at Bill Walsh Ford Today!
Interested in learning how you can deduct the costs of your next Ford work truck or cargo van? Reach out to Bill Walsh Ford to connect with our auto financing team and discuss the details. We’re here to answer any questions you have about deduction limits and provide tips on maximizing your Section 179 tax savings!
Disclaimer: The information provided on this page regarding the Section 179 tax deduction is for informational purposes only and should not be considered tax advice. Tax laws are subject to change, and individual circumstances may vary. We recommend consulting with a qualified tax professional to understand how Section 179 may apply to your specific situation. Bill Walsh Ford does not guarantee the accuracy or completeness of the information presented and is not liable for any actions taken based on this content.