Section 179 Tax Benefits at Johnson Lexus

Business owners may be able to reduce their tax burden by taking advantage of Section 179 when purchasing a qualifying Lexus SUV.

What Is Section 179

Section 179 of the IRS tax code allows eligible businesses to deduct a significant portion of the purchase price of qualifying vehicles in the year they are placed into service rather than depreciating the cost over time.

How Does the Section 179 Deduction Work

To qualify the vehicle must be purchased and put into service within the same tax year and used for business purposes more than 50 percent of the time. Deduction amounts vary based on vehicle weight usage and current IRS guidelines.

Which Lexus Models May Qualify

Select Lexus SUVs including the Lexus GX, Lexus TX and Lexus LX may qualify for Section 179 benefits due to their Gross Vehicle Weight Rating exceeding 6000 pounds. Vehicles in this category may allow for increased first year depreciation when used for business purposes.

Potential Tax Advantages

Depending on your business income and eligibility Section 179 may allow you to deduct a large portion of your vehicle purchase helping improve cash flow and reduce overall tax liability.