TAX INFO for all LR's!

[FriscoKid04]

Keep in mind that all LR's are able to recieve tax credit prior to the end of the year. Starting in October of 04, this new plan allows to exceed normal deductions based upon the GVWR of 6000 Lbs or more.

Consult with your accountant or CPA for further details. If you are thinking about it; DO IT! It will be well worth it.


Thanks-

Chris
[email protected]

 

[thompson]

Does anyone know if this is this available for a November 2005 purchase?

 

[Freeflytim]

nope sorry

 

[w6000]

nope sorry

The tax deduction is still available, just not in one lump sum deduction. You have to depreciate the LR3 over a six year period.

 

[toddjb123]

Hmmmmm....can anyone point to some more info on this? I bought my LR3 in May '05.

(do taxes using tax software and don't know if they ask you these questions or I itemize this one on my own.)

 

[timbo]

Hmmmmm....can anyone point to some more info on this? I bought my LR3 in May '05.

(do taxes using tax software and don't know if they ask you these questions or I itemize this one on my own.)

This only applies to vehicles owned by a business. Wikipedia is far from accurate on all its topics, but this looks right.

http://en.wikipedia.org/wiki/Section_179

 

[toddjb123]

link needs fixed.
either way, doesn't sound like it would apply to me (not a business).
thanks, though.

 

[UnbrknCh8n]

I was under the impression that the tax decuction was only for vehicles over 6000 pounds, and that the LR3, while heavy, isn't quite that heavy. Am I mistaken?

 

[Freeflytim]

Yes you are mistaken.
#1 this truck does not qualify. Period.
#2 if the truck did qualify you had to buy it in '04.
#3 This is '05.

Argh. read the posts or do some research and not rehash an old post.

 

[jptruck]

Actually, that's incorrect. You can immediately deduct 25K of the value of the vehicle in 2005. The rest can be depreciated over 5 years. The exemption in 2004 and before was to write-off the entire value of the vehicle in a one-year period. The new regulation just calls for you to depreciate some of the value over time. It's still a steal.

If you are an independent contractor (real estate agent, consultant, etc.), you can take advantage of this deduction. Otherwise, the vehicle must be registered to an LLC, S-Corp, etc. Keep in mind the car should be used for business purposes. You can also write off much of the gas that this vehicle chugs. Get a corporate car and spend away at 12mpg.