Take Advantage of Tax Code 179

If you own a business and use vehicles in your operations, you might be unaware that several Cadillac models can help you get a break on your taxes. Tax code 179 is a government incentive program designed to encourage you to invest in your business. If you live or work near Oklahoma City, Edmond, or Tulsa and are looking to buy a new or used vehicle for your business, consider a Cadillac at Bob Moore Cadillac of Edmond and give yourself a tax break through tax code 179.

Tax Code 179

In essence, section 179 of the Tax Code is an incentive that allows you to deduct some or all of your vehicle purchase cost from your gross income if you own a business. It applies only to certain qualified vehicles.

How Do I Know if My Business Is Eligible for Tax Code 179?

Did you lease, finance, or buy new or used vehicles within the tax year? If your answer is yes, you qualify for a deduction under Tax Code 179. To take advantage of this deduction, the vehicle you purchase must enter service within the same year the deduction is filed. The amount of the deduction buffers finances earmarked for the operation of your establishment as the claimant.

Which Vehicles Are Qualified?

To receive qualification for the deduction, a vehicle must meet certain requirements. There are some vehicles that fit naturally into this category, such as transport vans, taxis, hearses, ambulances, and other emergency vehicles. If a vehicle is not considered an emergency vehicle or one specifically designed to function as a vehicle with a narrow focus of use that establishes it as a work vehicle, other criteria can be matched with the code to count as a deduction. This criterion includes over-the-road vehicles like tractor-trailers, heavy construction equipment, and forklifts. This also includes vehicles with seating for nine or more people behind the driver’s seat, such as hotel and airport shuttles and other vehicles used to transport people or those considered for-hire property. Other examples include vehicles with:

• A completely enclosed cargo area or driver’s compartment.
• No body sections that protrude over 30 inches ahead of the leading edge of the vehicle, such as a regular cargo van.
• No seating behind the driver’s seat at all.
• Heavy “non-SUV” vehicles and trucks with a cargo area of six feet or more of interior length that is not easily accessible from the passenger area.
• Vehicles modified from personal use to business use.

What Cadillac Vehicles Are Eligible for Tax Code 179?

Cadillac models that meet Tax Code 179 criteria for a full-price deduction for passenger vehicles include XT4, CT5, and CT4. The following Cadillac models qualify for full-price deduction as SUVs or trucks with GVWR of more than 6000 lbs. but less than 14,000 lbs.: Escalade, Escalade ESV, XT5, and XT6.

If you would like to learn more about these Cadillac models or Tax Code 179 and how our Cadillac vehicles can save you money through your business operations, stop by our dealership and speak to our friendly and knowledgeable staff at Bob Moore Cadillac of Edmond.