Special Tax Deduction for Businesses

At GRUBBS INFINITI, we’re excited to assist our Infiniti customers in qualifying for the Section 179 Deduction. Some eligible INFINITI models, such as the QX80 and QX60, are listed here:

What Is the Section 179 Deduction (and How Does It Apply to Your Vehicle)?
The IRS categorizes vehicles eligible for the Section 179 Deduction into three main groups: Light, Heavy, and Other. Each category has specific limits, which may be adjusted annually for inflation. Below, we’ll break down the Section 179 guidelines for 2023. 

Light Section 179 Deduction Vehicles
Eligibility: Vehicles with a manufacturer’s Gross Vehicle Weight Rating (GVWR) under 6,000 pounds.
Examples: Passenger cars, compact SUVs, and smaller utility trucks.
Deduction: For 2023, up to $12,200 may be deducted in the first year of use. Including an additional $8,000 Bonus Depreciation, the combined maximum deduction reaches $20,200.

Heavy Section 179 Deduction Vehicles
Eligibility: Vehicles with a GVWR between 6,000 and 14,000 pounds.
Examples: Larger SUVs, commercial vans, and pickups.
Deduction: Vehicles in this group can deduct up to $28,900 in 2023. While 100% bonus depreciation was available until 2022, it has been reduced to 80% for 2023.
 
Other Section 179 Deduction Vehicles
Eligibility: Vehicles with a GVWR exceeding 14,000 pounds or those specifically modified for nonpersonal use
Examples: Specialized equipment, Shuttle vehicles having more than nine passengers behind the driver’s seat 
Deduction: For 2024, any vehicle meeting the above weight or modification guidelines is not subject to an IRS Section 179 deduction limitation. You may deduct up to 100% of the cost of any vehicle in this category.    

How to Find Your Vehicle’s GVWR?

To determine if your vehicle qualifies, locate its Gross Vehicle Weight Rating (GVWR), provided by the manufacturer. This figure represents the vehicle’s maximum safe weight, including passengers, fuel, cargo, and accessories. You can find the GVWR on a sticker or placard inside the driver’s side door. Remember, added equipment or options may impact the GVWR and could affect eligibility for the Section 179 Deduction.
 
Section 179 Deduction Vehicles and personal use
To claim the full deduction, the vehicle must be used exclusively for business purposes. If the vehicle is used for both business and personal purposes, it must be operated more than 50% of the time for business to qualify for a partial deduction.

If you’re ready to explore your options, reach out to GRUBBS INFINITI. We’re here to ensure you get the most out of your Section 179 Deduction and find the ideal vehicle for your business needs!

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