The question for economic stimulus qualified property must be yes as well as the question was the property acquired after 9/27/17Īnd if you are taking 179 eligible 179 property should be yes If the van is over 6000lbs you should be entitled to fully expense the cost using 179, 168(k) or a combination

note we can not see your entries or tax file. some info you entered is incorrect or there is something you are not telling us. You are getting the wrong result for the 179. By the way, there is no business income limitation for 168(k) depreciation the date is irrelevant as long as its place in service during the year. the same rule applied for 168(k) special depreciation. either way you are entitled to the maximum 179 deduction for the asset. it could be placed in service on 1/1 or 12/31. To take section 179 on a qualified asset in 2020 it must be placed in service anytime in 2020. I hope I've clarified the scenario and the essential question. As I mentioned initially, playing around with PIS dates in TT seems to imply that if I were to purchase and PIS, the last week of December this year, which is a practical possibility, the section 1 deduction would be negligible, whereas if I had placed in service at the beginning of the year it would be significant. I'm simply trying to determine whether purhasing a vehicle between now and end of 2020 represents a potential significant 2020 deduction. The background is that I have a relatively large tax liability this year from business income and I've been shopping for a vehicle for biz use. 'The Tax Cuts and Jobs Act (TCJA) allows unlimited 100% first-year bonus depreciation for qualifying new and used assets (including eligible vehicles) that are acquired and placed in service between September 28, 2017, and December 31, 2022'. This article still doesn't really address that.

I'm not concerned with details of deduction limit, vehicle type, %used for business or purchase price at the moment. Again, the type of vehicle which in my case is a cargo van is really irrelevant to the essence of my question, the placed in service date within the given tax year I'm claiming he deduction. I'm not clear what distinguishes the 2020 law re: 1st yr vs prior years except for the allowable limits.

Section 179 expense