Section 179 for Vehicles: How Business Owners Write Off a Truck or Van in 2026
Section 179 can let a business deduct the entire cost of a work vehicle in the year it is bought — but a normal sedan is capped at about $12,400, while a vehicle over 6,000 lbs GVWR can be deducted almost in full. The GVWR number on the door jamb is the whole game.
Key takeaways
- Passenger cars are capped at about $12,400 of Section 179 deduction in 2026.
- SUVs/trucks over 6,000 lb GVWR can be deducted almost entirely.
- The vehicle must be used more than 50% for business.
- Bonus depreciation may stack on top for the unused portion.
- Model the write-off with the Section 179 calculator.
Why the door-jamb number matters
Section 179 lets a business deduct the cost of equipment — including vehicles — in the year of purchase instead of depreciating it slowly. The catch is the IRS splits vehicles at 6,000 lbs gross vehicle weight rating. A Ford Expedition, Chevy Tahoe, or RAM 2500 rated over 6,000 lb GVWR qualifies for a near-full first-year deduction. A Honda Accord does not. The GVWR printed on the label, not the curb weight, is what counts.
The two caps that trip people up
Passenger vehicles (under the GVWR line) are capped at roughly $12,400 of Section 179 plus bonus depreciation in 2026. Vehicles over 6,000 lb GVWR escape that cap and can be deducted up to about $30,500 (the listed property limit), with bonus depreciation possibly covering more. Mixing personal use above 50% kills the deduction.
2026 deduction limits at a glance
| Vehicle type | GVWR | Max 179 deduction |
|---|---|---|
| Passenger car | Under 6,000 | ~$12,400 |
| SUV / pickup | 6,000+ lb | ~$30,500 |
| Heavy truck | 14,000+ lb | Full cost |
| Bonus depreciation | Varies | Stacks on remainder |
The 50% business-use rule
To claim any Section 179 vehicle deduction, the vehicle must be used more than 50% for business in the year you place it in service. The deduction is reduced proportionally to personal use, and if business use later drops below 50%, you recapture the benefit. Keep a mileage log — the IRS asks for it. This is why a "business" Tahoe you mostly drive to soccer practice does not qualify.
Lease vs. loan changes the math
Buy with a loan and you get the upfront deduction; lease and you deduct the business portion of the lease payments instead (with the luxury-auto lease cap factored in). Which wins depends on your income and the vehicle. Compare the two paths in <a href="/guides/small-business-vehicle-lease-vs-loan-tax-comparison">small-business lease vs loan</a>, and run the deduction with our <a href="/calculators/section-179/">Section 179 calculator</a>. For the loan payment itself, see <a href="/calculators/commercial-truck-loan/">commercial truck loan rates</a>.
Frequently asked questions
Can I deduct a regular car with Section 179?+
What GVWR do I need for the full deduction?+
Do I have to use the vehicle only for business?+
Is leasing or buying better for Section 179?+
Calculate Section 179 vehicle depreciation deduction for business vehicles. See limits for SUVs, trucks, and passenger cars in 2026.
Related guides
Lease or Buy a Business Vehicle? The Tax and Cash-Flow Trade-Off in 2026
A business can deduct lease payments or write off a purchase with Section 179 — but the right call depends on cash flow, the GVWR, and how long you keep the vehicle. Here is the side-by-side so you do not leave tax money on the table.
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