Searching for a “truck dealer near me” who can help you save on your next vehicle purchase? Understanding Section 168 of the US Tax Code could make a significant difference. At Phelps Chevrolet in Greenville, NC, we help you navigate this powerful tax benefit and maximize your savings when buying a new or used truck.
What Is Section 168?
Section 168 of the US Tax Code, also known as the Bonus Depreciation provision, allows businesses to deduct a significant portion of the cost of eligible vehicles in the year they are placed in service. This provision is designed to encourage business investment and stimulate the economy. It applies to new and used cars that meet specific criteria, offering substantial tax advantages for business owners.
How Does Section 168 Apply to Trucks?
Many Chevrolet trucks, like the Chevy Silverado 1500 and Chevy Silverado HD, qualify for Section 168 deductions. To be eligible, a vehicle must have a gross vehicle weight rating (GVWR) of over 6,000 lbs and be used at least 50% for business purposes. Whether purchasing a heavy-duty work truck or a versatile utility vehicle, Section 168 may significantly reduce your taxable income, freeing up funds for other investments.
Benefits for Business Owners
Section 168 allows business owners to deduct a set percentage of the vehicle’s purchase price in the first year, depending on its use and eligibility. This can lead to substantial upfront savings, making investing in high-quality vehicles that enhance productivity easier. The provision applies to financed and purchased vehicles, providing flexibility for your business needs.
How to Claim Your Deduction
To leverage Section 168, you must document the vehicle’s business use and consult a tax professional to ensure compliance. At Phelps Chevrolet, we can guide you to qualified trucks, streamline the purchasing process, and help you maximize your deduction.
Buy a New or Used Chevy Truck in Greenville, NC
Ready to take advantage of Section 168 and invest in a high-quality Chevy truck? Visit Phelps Chevrolet in Greenville, NC, to explore our selection of eligible vehicles. Our knowledgeable team is here to help you find the perfect Chevy truck for your business. Schedule a test drive today and start saving!
While we strive for accuracy, we encourage you to talk to your accountant or tax professional about any business decision with potential tax implications.
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