Section 179 Tax Savings Commercial Vehicles Indiana

Put Today's Purchases to Work for Your Business

At Russ Hubler Automotive, we help Indiana business owners pair the right make and model with their tax goals. If payload, towing, or interior configuration matters, our team will show you how a RAM, Ford, Dodge, or Jeep® platform can be spec'd to meet your daily needs while fitting within Section 179 planning. Whether you're in Greensburg and need a rugged service truck or in New Castle looking for a cargo van to expand routes, we'll gather the vehicle specifications on your new commercial vehicle that you need to share with your CPA so the tax treatment is clear before you put the vehicle to work.

How Section 179 Tax Savings Works

Section 179 allows eligible business owners to elect to expense the cost of qualifying tangible personal property in the year it is placed in service instead of depreciating that cost over several years. Recent federal guidance sets the top-dollar limits and special vehicle caps that govern how much you can expense in a single year. These dollar limits and the phase-out thresholds are adjusted periodically, and they determine whether an item's full cost can be written off immediately or must be depreciated across tax years. For 2025, the IRS has published adjusted limits and vehicle caps that are important to keep in mind when planning a commercial vehicle purchase.

What Counts as a Commercial Vehicle for Section 179

Not every truck or SUV qualifies in the same way. Heavy vehicles with a gross vehicle weight rating (GVWR) above certain thresholds often qualify for larger immediate deductions and may not be subject to the lower "luxury" vehicle caps that apply to typical passenger cars. Pickup trucks, cargo vans, and certain heavy SUVs that are built for business use tend to be the most straightforward candidates. It's also essential that the vehicle is used more than 50% for business. If the vehicle's business used drops below that level, the allowed deduction is then proportionately reduced. In short, tax planning for vehicles like a RAM 1500 or a Ford F-350 needs to account for GVWR, documented business use, and any specific caps that apply to SUVs and passenger-type vehicles.

Schedule Your Visit

Indiana State Considerations for Section 179 Deductions

Indiana generally follows federal Section 179 rules, but historically the state has limited the amount of federal Section 179 expensing that could be claimed for Indiana purposes and required an "add-back" of the excess. Recent guidance from the Indiana Department of Revenue and legislative updates have changed the mechanics of how Section 179 is treated at the state level, including adjustments to add-back thresholds. That means Indiana taxpayers - whether headquartered in Greensburg, running service routes from New Castle, or purchasing a commercial Ram or Ford at Russ Hubler Automotive - should plan for both the federal election and how that election will flow through on their Indiana return. Consult your tax advisor for precise, transaction-specific guidance.

How Bonus Depreciation and Section 179 Work Together

Section 179 is often paired with bonus depreciation to maximize first-year tax benefits. While it is dependent on timing, bonus depreciation can allow additional write-offs after the Section 179 limit is reached, but the interaction between the two rules is nuanced. Laws that change at the federal level can alter the optimal buy/expense strategy, so buyers in North Vernon or New Castle who are comparing a Dodge ProMaster, a Jeep-based commercial build, or a Ford Transit should have their accountant run the numbers for the specific vehicle cost, GVWR, and anticipated business use. Authoritative overviews and recent summaries from tax professionals can be a helpful reference when structuring a purchase. If you need guidance on which vehicles quality for such benefits, the team at Russ Hubler Automotive can get you pointed in the right direction.

Turn a Vehicle Purchase into Smart Cash Flow Management

Section 179 is a powerful tool for Indiana businesses that buy qualifying commercial vehicles, but its benefits depend on vehicle type, weight class, documented business use, and both federal and state rules. By combining vehicle selection advice from Russ Hubler Automotive with up-to-date tax counsel, businesses in North Vernon and beyond can turn a necessary purchase into an immediate tax advantage and improved cash flow. Reach out to our sales or commercial fleet specialists to discuss models, specifications, and the documentation you'll want to provide to your tax advisor so you can make the most of Section 179 this year.

How Can We Help?

* Indicates a required field

  1. Russ Hubler Automotive

    2795 N State Highway 7
    North Vernon, IN 47265-7187

  2. Russ Hubler Chrysler Dodge Jeep Ram New Castle

    250 Broad St
    New Castle, IN 47362-4955

    • Sales: (765) 575-3242
  3. Russ Hubler Chrysler Dodge Jeep Ram North Vernon

    2795 N State Hwy 7
    North Vernon, IN 47265-7187

    • Sales: 812-718-2326
  4. Russ Hubler Ford

    2010 N Lincoln St
    Greensburg, IN 47240

    • Sales: 812-716-4792
  5. Russ Hubler Ford

    2010 N Lincoln St
    Greensburg, IN 47240-9700

Loading Map...

Get in Touch