Special Depreciation allowance

Did you have enough income to support taking the special depreciation? What percentage of business use is there?

You would have encountered these screens along the way.

I'll enter my actual expenses because my higher repair, gas, and insurance expenses might get me a bigger tax break.

How much do you want to deduct for the business use of this vehicle?

Based off the info you gave us, your vehicle qualifies for a 'Section 179' deduction.

Since the business use percentage is 100.00%, the max amount of depreciation, including Section 179 and the special depreciation allowance, that you can take for this vehicle is $18,100.

If you aren't sure how much Section 179 you want to take, you can see our recommendations. Otherwise, enter an amount below.

Section 179 Deduction

The special depreciation allowance is included in the max amount of depreciation you can take for this vehicle. You can take the max amount as a Section 179 Deduction, as the special depreciation allowance or a combination of both.

I'll take the special depreciation allowance

I don't want to take the special depreciation allowance

At the end, if you click the blue, "How was this calculated?" you'll see this:

Actual expenses deduction calculation

If you used the actual expenses method, your vehicle deduction includes:

• Your vehicle expenses (gas, insurance, repairs, etc.), subject to your business use. For example, if 50% of the total miles you drove this year were for work, 50% of your vehicle expenses are included in your deduction.
• Any property taxes or interest you paid on vehicle, subject to your business use
• Any parking, toll, and transportation fees you included, dollar for dollar
• Any depreciation