Note: The information supplied
here is provided by your local Ford store as a public service to its customers.
It should not be construed as tax advice or as a promise of potential tax
savings or reduced tax liability. Individual tax situations may vary. Federal
rules and tax guidelines are subject to change. For more information about the
Section 179 expense write off or other business vehicle expense write offs, you
should consult your tax advisor for complete rules applicable to your
transaction and visit the Internal Revenue web site at www.irs.gov.
1This analysis applies only to vehicles placed
in service in the United States after December 31, 2015 and by December 31,
2017 with no written binding contract for acquisition in effect before January
1, 2017. The aggregate deduction of $500,00 under Internal Revenue Code Section
179 is most beneficial to small businesses that place in service less than
$2,000,000 of "Section 179 property" during the year (vehicles and other
business property).
2IRC Section 280F(d)(7)(B) requires that the
limitation under IRC Section 280F(a)(1) be adjusted annually, based on the CPI
automobile component for October of the preceding year. The IRS officially
announced the Section 280F depreciation limits in Revenue Procedure 2017-23.
The passenger automobile limitation is $11,160, the trucks/vans under 6,000
lbs. limitation is $11,160. SUV's over 6,000 lbs. GVWR are limited to a
deduction of $25,000 under Section 179(b)(5) with the remaining basis in the
vehicle depreciated under normal MACRS methods. The expensing restrictions
under Section 280F do not apply to vehicles that are considered to be
"qualified non-personal use vehicles" (QNUVs). A UNUV is generally a vehicle
that, by virture of its nature or design, is not likely to be used more than a
de minimis amount for personal purposes. For more information, see Income Tax
Reg., Sec. 1.280F-6(c)(3)(iii), Income Tax Reg. Sec. 1.274-5T(k), and Revenue
Ruling 86-97, and contact your tax advisor for details. Consult your tax
advisor as to the proper tax treatment of all business-vehicle purchases.
3All prices exclude taxes, title and registration
and document fees. Not all buyers will qualify for all offers. Above total
savings are examples of specific vehicles; total savings varies by vehicle. Available
at participating stores only. For all offers, take new retail delivery from
dealer stock by December 31, 2017. See dealer for qualifications and complete
details. All incentives were correct at the time of printing and are subject to
change at any time. Models shown may not represent actual vehicle description
listed, and therefore may include additional features and/or accessories.