For savvy business owners, the Section 179 tax deduction offers a strategic advantage. That's because this tax provision allows you to deduct up to the full cost of eligible vehicles purchased for company use! The Basil Ford of Niagara Falls team is committed to helping you leverage these tax savings to secure the best commercial vehicles for your enterprise at an affordable cost.
Visit our Ford dealership near Grand Island today to understand how investing in a Ford vehicle can not only enhance your operations but also provide significant tax benefits.
How Does Section 179 Work?
Section 179 is a tax code designed by the IRS to encourage businesses to invest in themselves. By allowing companies to deduct the full purchase price of qualifying equipment like vehicles during the tax year, businesses can significantly lower their taxable income.
Before this provision, the cost of business equipment was often spread out through depreciation deductions over several years. Now, businesses can choose to write off the entire equipment cost the year they purchase it, making immediate investments more feasible and financially advantageous.
What Are the Section 179 Limits for 2025?
For the 2025 tax year, Section 179 permits up to $2,500,000in deductions, with a spending cap on equipment purchases set at $4,000,000. 1 Once the spending cap is surpassed, the deduction reduces dollar-for-dollar. This setup ensures that Section 179 is primarily beneficial for small to medium-sized businesses.
On top of this, a 100% Bonus Depreciation is available, 1 enabling further deduction of the purchase price of qualifying assets. All deductions require that vehicles be purchased and in service by December 31, 2025.1
What Ford Vehicles Are Eligible for Section 179?
A variety of Ford trucks and commercial vehicles are eligible for Section 179, including the Ford F-150, Super Duty® trucks and Transit vans. These vehicles, known for their reliability and performance, make excellent additions to any business fleet. While many work-centric vehicles are eligible for a full deduction, traditional passenger vehicles are eligible for partial deductions so long as they're used for business purposes at least 50% of the time.
Here's a breakdown of common vehicle types and their deduction limits for 2025:
- New & Used Vocational Trucks and Vans: Full Section 179 deduction available
- Heavy SUVs & Trucks (Over 6,000 lbs. GVW): $31,300 maximum Section 179
- Cars, Light Trucks & SUVs (Under 6,000 lbs.): $20,400 first-year maximum
Qualifying Ford vehicles for Section 179 can include:
- Ford F-150
- Ford Super Duty®
- Ford Transit Cargo Van
- Ford Transit Passenger Wagon
- Ford Expedition
- Ford Explorer
- Other Ford trucks, vans, and SUVs
Ford Fleet Sales Near Grand Island
Take advantage of our impressive inventory of Ford commercial vehicles to expand and improve your business capabilities. Whether you require vehicles for delivery, transport or on-site work, our collection caters to diverse industry needs. Contact Basil Ford of Niagara Falls to go over Section 179 qualifications and details with our team, then stop by in person to explore our inventory, take test-drives and get acquainted with your new 4-wheel business partners.
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1 Information accurate as of publishing date. Please consult https://www.section179.org for the most up-to-date details.