Commercial Truck Tax Incentives FAQs

One of the biggest financial perks of purchasing a new Ram commercial vehicle for your business is the opportunity to claim substantial tax write-offs. Thanks to provisions in the IRS tax code, businesses may be eligible to deduct up to 100% of the purchase price of a new commercial truck or van during the first year the vehicle is in service. This deduction applies to qualified property, which includes most of the trucks and vans in Ram’s commercial lineup. By taking advantage of Section 179, businesses can claim up to $1,220,000 in deductions on qualified purchases. Whether you’re expanding your fleet or replacing an aging vehicle, this offers a huge potential for savings. Additionally, upfits (customizations made to the vehicle for your business) may also qualify for these deductions, making it even more advantageous to invest in the right commercial truck today. The benefits don’t stop there. Section 168(k), commonly referred to as the “Bonus Depreciation” rule, allows you to claim a 60% deduction on the purchase of new Ram commercial vehicles during the tax year. This provision was put in place to help businesses quickly recoup some of the costs of acquiring large assets, such as trucks and vans, that are essential for their operations. At Don Vance Chrysler Dodge Jeep Ram, we can guide you through the different tax incentives and help you maximize your tax savings.

Sections 168(k) and 179 are two powerful sections of the IRS tax code that provide different tax benefits for businesses purchasing commercial vehicles. Section 168(k), also known as “Bonus Depreciation,” allows you to take a temporary deduction of up to 60% of the purchase price of new qualifying Ram trucks and vans. This deduction can be claimed during the tax year in which the vehicle is placed into service. What makes this provision so attractive is that it applies to both new and used vehicles, allowing businesses more flexibility when selecting their next commercial truck. Section 179, on the other hand, is geared towards helping small and mid-sized businesses by allowing them to deduct up to 100% of the purchase price of a new Ram truck or van in the year it was purchased. The deduction limit for 2024 is set at $1,220,000, making it an excellent option for businesses looking to invest in multiple vehicles. This tax incentive can dramatically reduce the net cost of purchasing a new commercial vehicle, especially when combined with any additional upfits or customizations that your business might require. However, it’s important to consult with a tax professional to understand how these deductions will impact your specific financial situation. Our team at Don Vance Chrysler Dodge Jeep Ram is happy to work with you and your tax advisor to ensure you’re making the most of these tax incentives.

When it comes to selecting the right commercial vehicle for your business, Ram offers a versatile lineup that can meet a wide range of needs. From light-duty trucks for everyday business tasks to heavy-duty models designed for the toughest jobs, Ram has you covered. The Ram 1500 is a great option for business owners who need a reliable truck with impressive towing and hauling capabilities, while also enjoying advanced technology and comfort features. For businesses requiring more power and payload capacity, the Ram Heavy Duty series, including the 2500 and 3500 models, provides top-tier performance with a focus on durability and strength. If your business needs a more specialized vehicle, the Ram Chassis Cab offers incredible versatility, allowing you to upfit the truck with custom configurations to suit your specific needs. From flatbeds to service bodies, the Chassis Cab can be transformed into the perfect tool for your business. For those in the delivery or transportation industry, the Ram ProMaster provides the space and flexibility needed to get the job done with ample cargo capacity, and the possibility to be outfitted with a range of upfits to handle anything from construction tools to medical supplies. With so many options, Don Vance Chrysler Dodge Jeep Ram is the perfect place to find the right Ram commercial vehicle to meet your business needs.

At Don Vance Chrysler Dodge Jeep Ram, we take pride in being Missouri’s Commercial Truck Headquarters. Our dealership offers an extensive inventory of Ram commercial vehicles designed to meet the diverse needs of business owners across various industries. Whether you need a light-duty truck like the Ram 1500 or a versatile workhorse like the Ram ProMaster, we have the perfect vehicle for your business. Our expert sales team is here to assist you in finding the right truck or van, while our knowledgeable finance department can help you navigate the complexities of tax incentives like Section 168(k) and Section 179, ensuring that you maximize your savings. Beyond offering the best selection of commercial trucks, Don Vance Chrysler Dodge Jeep Ram is also committed to keeping your vehicle in top condition. Our state-of-the-art service department provides everything from routine maintenance to specialized repairs, ensuring that your fleet stays road-ready. Ready to take advantage of the incredible tax incentives available on Ram commercial vehicles? Fill out the form below to schedule anappointment with our team today. Whether you’re expanding your fleet or purchasing your first commercial vehicle, Don Vance Chrysler Dodge Jeep Ram is here to help every step of the way!