Quote:
Originally Posted by red-beard
I am sure that the tax laws don't work that way. You can buy the car, but you only get to depreciate it against income.
I'm also looking at that, for the truck I need to buy. The drop in value on the trucks is much faster than the cars. It would be better to buy a 3 yr old truck, and then do the depreciation, than to lease a new truck.
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Over 6000 GVWR you can depreciate the entire vehicle in one year, unless they changed the law which was happening soon. Then you also take your actual expenses for fuel, maint, ins, etc. But NO interest
Or you can take miles which is now $0.52/mi IIRC
Or you can deduct your lease payment plus actual expenses.
Since your lease payment includes interest and tax, that gets written off too.
Want a bigger write off? Buy lots of miles. Your lease payment is higher, and 100% of that increase in payment is applied to lowering the buyout.
A BMW depreciates faster than a truck, so that logic is flawed.