Must-Know For Small Businesses: Vehicle Tax Write-Offs
Small businesses on average pay about 19.8% business tax. One way to reduce the amount you owe in taxes is by doing a tax write-off.
One way you can use your write-off is by doing a vehicle tax write-off, especially if you have a heavier vehicle.
Keep reading to learn more about how a small business tax write-off works for large vehicles.
What Are Heavy Vehicle Tax Write-Offs?
If you're interested in writing off vehicles over 6000 pounds, you'll need to use a Section 179 deduction. This will work if your vehicle is classified as an SUV under the tax rules, but it's limited to $25,000.
If you don't have an SUV that is heavy, like a van or a pickup, these aren't limited to the $25,000 limit. These vehicles can be written off for the entire portion that you use for your business.
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