What's a trade in worth today?

[GDeen]

Regarding pre-owned units wouldn't the use of the vehicle as a mobile "office" to conduct meetings/conference and so forth meet the 179 deduction criteria? I know I'm asking an accountant question but not sure if some of you have already vetted this question.

There are very important limitations to the 179 deduction, and business use depreciation of the motorcoach for tax purposes in general. For instance, you may not take a 179 deduction in a given year for more than the business for which the deduction is taken makes in that year. EG, a shell company with $50k in receipts isn't going to cut it on the full amount of 179 deduction of $500k. You may carry forward residual deduction which is income limited in a given year however.

With the amount of money you are talking about here, it is well worth the time to "vet" with a competent tax advisor. He or she will run you through the ringer on the legitimacy of business use for which you will be happy should the IRS come knocking down the road.

There is also a bonus depreciation acceleration allowed in 2010 and I believe again in 2011 in addition to the 179. If memory serves, this is limited to new equipment placed in service however whereas the 179 may be new or used. Again, tee up the knowledgeable tax advisor....

[gershwin]

There are very important limitations to the 179 deduction, and business use depreciation of the motorcoach for tax purposes in general. For instance, you may not take a 179 deduction in a given year for more than the business for which the deduction is taken makes in that year. EG, a shell company with $50k in receipts isn't going to cut it on the full amount of 179 deduction of $500k. You may carry forward residual deduction which is income limited in a given year however.

With the amount of money you are talking about here, it is well worth the time to "vet" with a competent tax advisor. He or she will run you through the ringer on the legitimacy of business use for which you will be happy should the IRS come knocking down the road.

There is also a bonus depreciation acceleration allowed in 2010 and I believe again in 2011 in addition to the 179. If memory serves, this is limited to new equipment placed in service however whereas the 179 may be new or used. Again, tee up the knowledgeable tax advisor....

Yes you are right the 179 deduction form is for preowned or "not new" equipment. Was going to speak with a TA just wanted to do a little root'n around w/ like kind individuals before posing the "maybe" question to him.

thank you...

[GDeen]

Gershwin,

Just to clarify, you may use the 179 for either new or used equipment...

Good luck - where there is a will there is a way....