Submitted By: someone
Answered: October 5, 2017 10:11 pm

How do I get the 20% depreciation write-off for a vehicle of there’s a dollar limit on what I can deduct?

Depending on the cost of the vehicle and whether it’s new or pre-owned, you may not be able to claim to claim the full 20% depreciation allowance in the year placed the vehicle in service. For example, if in 2017 you bought a pre-owned vehicle used 100% for business and it cost $15,000, you get the full 20% depreciation allowance of $3,000 because is it less than the $3,150 limit. If the vehicle cost $20,000, you’re limited to $3,150.

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Tax Glossary

Fiduciary

A person or corporation such as a trustee, executor, or guardian who manages property for another person.

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