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Model X may qualify for 50% business write off.

Discussion in 'Model X' started by Vitold, Sep 1, 2015.

  1. Vitold

    Vitold Member

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    #1 Vitold, Sep 1, 2015
    Last edited: Sep 1, 2015
    I read here that Model X weighs 6100lbs...if that's right, under IRS rules, business owners can deduct up to 50% of it's value!...as long as it can fulfill the following requirements (from article linked above):


    A. Your crossover vehicle is a truck if you can create a flat, floor-level surface from the front seats to the rear by removing the seats using simple tools such as screwdrivers and wrenches.5


    B. Your crossover vehicle is a truck if it first has either (a) four-wheel drive or (b) a GVWR of more than 6,000 pounds, and second has four or more of the following five characteristics:6



    1.Approach angle of not less than 28 degrees

    2.Break-over angle of not less than 14 degrees

    3.Departure angle of not less than 20 degrees

    4.Running clearance of not less than 20 centimeters

    5.Front and rear axle clearances of not less than 18 centimeters


    I guess, all that speculation on how seats fold is not w/o it's merits. :biggrin:

    EDIT: Hm...this website says that it's limited to $25k right now.
     
  2. paintpolisher

    paintpolisher Banned

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    It used to be 100% a few years ago. I wrote off a truck that I purchased for $55k.

    I hope to do the $25k. Time w tell.
     
  3. ScepticMatt

    ScepticMatt Member

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    The X has a "hump" over the rear drive train, so I can't see how you can possibly fulfill criteria A.
     
  4. FlasherZ

    FlasherZ Sig Model S + Sig Model X + Model 3 Resv

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    Yes, the bonus depreciation dance has been crazy the last few years. Congress generally gets lobbied near the end of the year and makes some changes to it. We're back to the $25K limit at this moment, but you won't know until December or so whether they go back to 50%, 100%, etc.
     
  5. ibcs

    ibcs Member

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    I checked the clearance is 7.2" on the so option #5 is out of the question. Do any of the first four criteria fit? This is huge for small business owners to purchase the vehicle.
     
  6. AnOutsider

    AnOutsider S532 # XS27

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    18cm is just over 7". 7.2" wouldn't count?
     
  7. Vgsllc1

    Vgsllc1 Member

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    thinking about upgrading to the X as primary biz vehicle. I generally only claim the mileage only.
     
  8. djc

    djc New Member

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    I bet with 22 in tires and putting the suspension at the highest setting, then you could get it over the 18/20 cm you need. Just make sure to raise it when they question you.
     
  9. Jeva

    Jeva BKINTME

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    My wife has a Touareg and it qualifies.
     
  10. Vitold

    Vitold Member

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    Apparently Section 179 rules change from year to year. What I posted originally it's not the latest, but I'm having difficulty finding Section 179 for 2015 and rules will probably be different for 2016.
     
  11. jimmyjohn

    jimmyjohn Member

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    The -- corrupt -- US politicians (in bed with NADA) who fervently set up barriers to the Tesla Motors distribution network must be torn ---- knowing that their arbitrary laws that incentivize the purchase of big, gas sucking oil trucks (for business purposes --- dubious in most cases) will also be used to strengthen Tesla Motors. Once an idiot, always an idiot.
     
  12. FlasherZ

    FlasherZ Sig Model S + Sig Model X + Model 3 Resv

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    Generally, they aren't set until December as Congress deals with it at the very last minute. Given the fragility of the economy, I wouldn't be surprised to see a great bonus depreciation number this year, but who knows what next year will bring.
     
  13. AnOutsider

    AnOutsider S532 # XS27

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    So it is pretty much understood and agreed that the X qualifies?
     
  14. Cowby

    Cowby Member

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    oh please let it be so!
     
  15. idoco

    idoco Member

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    Are businesses eligible for the $7500 EV federal tax credit and state tax credits?
     
  16. arthur campbell

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    Tax Credit and Section 179 Deduction on the Model X

    Will the IRS allow a Tax Credit of $7500 and a Section 179 Tax Deduction ($25000 max) for 2015 on the Model X ?
     
  17. arthur campbell

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    The Model X appears to meet IRS Section 179 Deduction ($25000 max ) for 2015.
    Are both the Deduction and the $7500 Tax Credit eligible? I do not know of any
    Vehicle to compare with.
     
  18. flyhigh123

    flyhigh123 Member

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    how would this bus write off work if i'm a sole proprietorship as a side business?
     
  19. Jeva

    Jeva BKINTME

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    ^^^ I can't answer the above (my wife probably can) but I do know if you buy it as a business vehicle, it's only supposed to be driven for business. Mileage is to be tracked and recorded in the event of an IRS audit - violate this at your own risk. On a gasoline vehicle, the fuel is also tax deductible which brings up an interesting scenario. Can you deduct the cost for charging?
     
  20. lodenthal

    lodenthal Member

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    I wonder if the Nissan NV electric truck, kind of a delivery truck gets both credits. I'll ask some Nissan guys...
     

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