There's Greater Benefits For Small Businesses

Due to the 2017 IRS Tax Cuts and Jobs Act, many small businesses that invest in new equipment, including qualifying new vehicles, will be able to write off up to the entire purchase cost of these purchases on their 2020 IRS returns.

 

Is There A Catch?

Qualifying vehicles must be purchased and placed into service between January 1, 2020 and December 31, 2020. It must be used at least 50% for business, based on mileage, in the first year it is placed in service. This applies to trucks, vans and SUVs rater higher than 6,000 lbs GVWR.


Ford Transit

Potentially deduct up to the entire purchase cost of one or more vehicles on your 2020 IRS tax return.


Ford Transit Connect

Potentially deduct up to $18,100 in the first year. Then the remainder over the next several years under normal depreciation method.


Ford Super Duty

Potentially deduct up to the entire purchase cost of one or more vehicles on your 2020 IRS tax return.


Ford Medium Duty

Potentially deduct up to the entire purchase cost of one or more vehicles on your 2020 IRS tax return.


Lester Glenn Ford Commercial Truck and Van Center

Lester Glenn Ford in Ocean, NJ is your local Ford Commercial Truck and Commercial Van Center. Conveniently located in Monmouth County, NJ, our huge selection of commercial vehicles and partnerships with local upfit and commercial body work vendors makes us your one-stop shop for all of your commercial needs. Whether you know exactly what type of vehicle your business needs, or want to know what options are out there, our Ford Commercial Team has the knowledge and experience to help guide you through one of your business' most important purchases. From gathering information, to working through the sales and financing process, to getting your commercial vehicle in for maintenance and service, our team will be there every step of the way, providing you with the Lester Glenn Experience.

The Lester Glenn Experience


Disclaimers:

NOTE: The information supplied here is provided by your local Ford Dealer as a public service to its customers. It should not be construed as tax advice or as a promise of potential tax savings or reduced tax liability. Individual tax situations may vary. Federal rules and tax guidelines are subject to change. For more information about the Section 168 (K) expense write-off or other business vehicle expense write-offs, you should consult your tax professional for complete rules applicate to your transaction and visit the Internal Revenue Website at www.irs.gov.

Under Bonus Depreciation in Section 168 (K) of the Internal Revenue Code, companies may be eligible to fully expense the cost of trucks, vans and SUVs rated over 6,000-lbs. GVWR, when purchased for business use. Trucks and vans that are considered passenger vehicles, rated under 6,000-lbs. GVWR, are limited to $18,100 of depreciation in the year of purchase with normal MACRS depreciation on the remaining basis in the vehicle in subsequent years. A vehicle is not considered a passenger vehicle and is thus not limited to the lower depreciation amounts, if it is considered a "qualified non-personal use vehicle." Qualified non-personal use vehicles are vehicles that, by virtue of their nature or design, are not likely to be used more than a de minimus amount for personal purposes. Examples of qualified non-personal use vehicles include 1) a vehicle that can seat nine-plus passengers behind the driver's seat, 2) a heavy non-SUV vehicle with a cargo area of at least six feet in interior length or 3) a vehicle with a fully-enclosed driver's compartment/cargo area, no seating behind the driver's seat and no body section protruding more than 30 inches ahead of the leading edge of the windshield. For more information, see IRC Section 280 (d)(7), Income Tax Reg., Sec 1.280F-6(c)(3)(iii), Income Tax Reg. Sec 1.274-5T(k), and Revenue Ruling 86-97, and contact your tax advisor for details. Consult your tax advisor as to the proper tax treatment of all business-vehicle purchases.