Section 165(k) and Section 179 Tax Deductions
Now is the time to purchase the additional vehicle(s) needed for your business. 100% expensing for federal income Tax Purposes may be available on your next Ram Truck purchase.
SECTION 168(K) TEMPORARY 100-PERCENT EXPENSING
A Ram truck is generally considered qualified property for purposes of section 168(k) for U.S. Federal Income Tax purposes. This means a taxpayer may elect to treat the cost of any qualified property as an expense allowed as a deduction for the taxable year in which the property is acquired and placed in service.
SECTION 179 FIRST-YEAR EXPENSING
A Ram truck is generally considered Section 179 property for U.S. Federal Income Tax purposes. This means a taxpayer may elect to treat the cost of any Section 179 property as an expense and allowed as a deduction for the taxable year in which the property is acquired and placed in service. A qualifying business may expense up to $1,040,000 of Section 179 property during 2020.
2020 FIRST YEAR DEPRECIATION LIMITS
Up to 100% Total Deduction per Vehicle
- Ram 1500
- Ram 2500 & 3500
- Ram 3500, 4500 & 5500 Chassis Cab
- Ram ProMaster
- Ram ProMaster City Cargo Van
Up to $18,100 Total Deduction per Vehicle
- Ram ProMaster City Passenger Wagon
$50,000 Ram truck purchase is expensed at 100% in year one. If the business’s tax bracket is 30%, it could save that business $15,000 on owed federal taxes. This deduction works with financing and leases.
Consult your tax professional to determine your vehicle depreciation and tax benefits.