Why is 2008 considered a great time to purchase an auto vehicle for business?
There is some great news regarding the tax benefits for purchasing a new vehicle in 2008. The IRS has announced that the maximum write-off in the first year is now at $10,960. This represents a substantial increase from the prior year limits.
For vehicles that are placed in service by December 31, 2008, $25,000 of the cost can be expensed under code sec 179, half of the remaining balance can be claimed as a bonus depreciation, then 20% of what is remaining can be written off under the regular depreciation allowable under the tax code.