Section 179 Vehicle Deduction For 2025 Explained

Want to maximize your business's Section 179 deduction? Autostar Chevrolet of Waynesville has the inside scoop on how this law and others have changed to give your company even bigger tax breaks in 2025. Scroll through our Section 179 guide to learn about these important tax advantages worth up to $2,500,000,¹ then shop our Waynesville, NC, dealership for eligible vehicles!

Understanding the New Section 179 Tax Deductions

Before 2025, Section 179 tax deductions were set to phase out by 2027. However, new legislation has not only reinstated and preserved Section 179 but also doubled its deduction power. Here's a look at Section 179 limits for 2025:

• The U.S. government launched the Section 179 deduction years ago to allow businesses to deduct the full purchase prices of qualifying vehicles from their taxable income.
• Because Section 179 can be applied in the same year vehicles are placed into service, the deduction preserves your company's cash flow and provides near-immediate benefits.
• Section 179 limits for 2025 have doubled: Business owners can now claim a maximum deduction of $2,500,000 with a phase‑out threshold of $4,000,000 for vocational and specialized vehicles of any weight.¹
• Passenger vehicles weighing between 6,000 and 14,000 pounds have maximum deductions of $31,300, while cars and trucks under 6,000 pounds have Section 179 limits of about $20,400.²
• New Section 179 deduction 2025 laws have also reinstated 100% bonus depreciation, which can be applied in addition to your Section 179 vehicle deduction.¹

Which Vehicles Qualify for Section 179 Deduction Status?

Any vehicle placed into service for commercial purposes can be eligible for a Section 179 deduction. So, if you've had your eye on any of our new Chevy Silverado HD trucks, you're in luck! Shop our commercial inventory in Waynesville, NC, to find a truck or SUV to make your daily operations run even more smoothly.

• Chevy Colorado: This truck is ideal for smaller crews hauling lighter loads, thanks to its robust TurboMax engines, available underbody cameras, and innovative StowFlex tailgate.
• Chevy Silverado 1500: The ideal middle ground between midsize and heavy-duty, the Silverado 1500 is ideal for a huge range of industries.
• Chevy Silverado 2500 HD: What's not to love about a versatile Durabed, advanced towing technology, and a Multi-Flex Tailgate in this heavy-duty truck?
• Chevy Suburban: If an SUV with massive passenger and cargo space fits your bill, choose the Suburban with its seating for up to nine, powerful engine options, and Google Built-In.

Want Your Section 179 Deduction? Our Waynesville, NC, Dealership Can Help

Save your business as much money as possible by claiming the maximum possible Section 179 vehicle deduction on eligible Chevrolet trucks, cars, and SUVs. Shop our inventory in Waynesville, NC, to take your company's productivity to new heights.

Frequently Asked Questions

What are the benefits of using Section 179 for 2025?

Under new laws governing the Section 179 deduction, 2025 recipients can now receive up to double the previous years' tax breaks. Section 179 reduces your business's taxable income that same year, and it can be combined with the newly reinstated 100% bonus depreciation for even bigger savings. Section 179 vehicle deductions also apply to almost any model placed into commercial service, including cars, trucks, and SUVs.

Is there a weight requirement for vehicles under Section 179?

Yes, there are Section 179 deduction limits based on a vehicle's weight. Vocational and specialized vehicles of any GVWR qualify for the maximum deduction of $2,500,000 with a phase‑out threshold of $4,000,000.¹ Passenger vehicles weighing between 6,000 and 14,000 pounds have maximum deductions of $31,300, and cars or trucks under 6,000 pounds are limited to a deduction of around $20,400.²

When is the deadline to claim the deduction?

The deadline to place an eligible vehicle into service and claim its Section 179 deduction is December 31 of the tax year in which the vehicle was purchased.³ Claim the deduction on your business's tax return using IRS Form 4562. As of 2025, the Section 179 vehicle deduction is permanent, so you can expect to leverage its benefits each year that your business purchases an eligible vehicle.

¹Reference to this third-party review/claim is solely for informational purposes and not to be relied upon. For more details, please visit https://www.comerica.com/insights/commercial-banking/assorted-commercial/bonus-depreciation.html#:~:text=100%25%20bonus%20depreciation%20is%20now,of%20this%20renewed%20tax%20advantage.

²Reference to this third-party review/claim is solely for informational purposes and not to be relied upon. For more details, please visit https://www.section179.org/section_179_faqs/

³Reference to this third-party review/claim is solely for informational purposes and not to be relied upon. For more details, please visit https://www.irs.gov/instructions/i4562