Model X may qualify for 50% business write off.

[flyhigh123]

has there been a final conclusion to whether this will or will not qualify as a tax writeoff?

 

[bhzmark]

From the weight specifications posted earlier it appears that it does qualify. Whether you can adequately document more than 50% business use of the vehicle is probably the main question you should ask.

 

[ModelS8794]

If one incorporates a new venture in the business of leasing vehicles to consumers, and then leases a purchased Model X to a consumer who happens to be the owner of the business, is the tax efficiency better than an individual simply buying the car?

 

[dmunjal]

Reviving this old thread. The Model X definitely qualifies for the the Schedule 179 deduction. Has anyone seen how the changes to the tax code for 2018 affect this deduction? I noticed that they backdated the "day placed in use" to 9/27/17 and made a change to allow new and used vehicles? Anyone filing taxes now figured out what's the best way to do this?

 

[GOPJEW]

Reviving this old thread. The Model X definitely qualifies for the the Schedule 179 deduction. Has anyone seen how the changes to the tax code for 2018 affect this deduction? I noticed that they backdated the "day placed in use" to 9/27/17 and made a change to allow new and used vehicles? Anyone filing taxes now figured out what's the best way to do this?

Actually, in the new law the X qualifies for a 100% deduction - not under section 179 but under the Bonus Depreciation which is now 100% under section 168(k). See the article below - excellent piece. IRS won't issue new guidelines until March at earliest - but it is already in effect.

Tax Geek Tuesday: Changes To Depreciation In The New Tax Law

 

[jtdiddy]

Actually, in the new law the X qualifies for a 100% deduction - not under section 179 but under the Bonus Depreciation which is now 100% under section 168(k). See the article below - excellent piece. IRS won't issue new guidelines until March at earliest - but it is already in effect.

Tax Geek Tuesday: Changes To Depreciation In The New Tax Law

my CPA says that the model x actually qualifies for both the section 179 deduction and the 100% bonus depreciation as they are separate things. For it to be kosher under sec. 179 though, the model x should be bought and registered under the business/company and needs to be used more than 50%.

 

[YauKwan]

my CPA says that the model x actually qualifies for both the section 179 deduction and the 100% bonus depreciation as they are separate things. For it to be kosher under sec. 179 though, the model x should be bought and registered under the business/company and needs to be used more than 50%.

Do you have more information about this?

That would be quite the write off...

100% from section 168k
50% from section 179

and 7500 fed rebate, AND any local incentives...Almost a free car...

 

[jtdiddy]

Do you have more information about this?

That would be quite the write off...

100% from section 168k
50% from section 179

and 7500 fed rebate, AND any local incentives...Almost a free car...

Just google it as there has been alot of discussion about it. But yes, the Model x does get all of that. This is why i decided to get the Model X instead of a fully loaded 3. Only catch was that i had to get the X through my business and register under the business to make the 179 claim kosher. Some people have been buying the X personally and still claiming the 179 deduction but my cpa says this is not legit and will create big problems if audited.

 

[Rumi11]

Reviving this old thread. The Model X definitely qualifies for the the Schedule 179 deduction. Has anyone seen how the changes to the tax code for 2018 affect this deduction? I noticed that they backdated the "day placed in use" to 9/27/17 and made a change to allow new and used vehicles? Anyone filing taxes now figured out what's the best way to do this?

Does anyone know if I can deduct the dashcam installs and hardware? I've heard of a company called Calibred Customs here on the threads and I checked their Yelp and they seem legit! Pricing according to what I have read does not seem bad at all. Is this a deductible item given that it should help as far as liability and insurance?

 

[rohitgarewal]

Just google it as there has been alot of discussion about it. But yes, the Model x does get all of that. This is why i decided to get the Model X instead of a fully loaded 3. Only catch was that i had to get the X through my business and register under the business to make the 179 claim kosher. Some people have been buying the X personally and still claiming the 179 deduction but my cpa says this is not legit and will create big problems if audited.

If you are an independent contractor and don’t have a business, but file a schedule c the car can be under your name. The keys are you have to be pass through income (1099) and not an employee (w2), and you have to,use the suv at least 50% for business use. Keep a log book.

 

[MelaniainLA]

Does anyone know if I can deduct the dashcam installs and hardware? I've heard of a company called Calibred Customs here on the threads and I checked their Yelp and they seem legit! Pricing according to what I have read does not seem bad at all. Is this a deductible item given that it should help as far as liability and insurance?

Yes. I just used them for X install. Perfect!!! Last year used them for S install. Perfect as well. Pricey but worth it! And he offers support forever if you’re nice. Tell him I said hello!

 

[MelaniainLA]

If you are an independent contractor and don’t have a business, but file a schedule c the car can be under your name. The keys are you have to be pass through income (1099) and not an employee (w2), and you have to,use the suv at least 50% for business use. Keep a log book.

My log book is being delivered today!!! Daily handwritten log.

Best deal was taking delivery end of 2017, using ONLY for business (visited a client from delivery center!), keeping my personal car til Jan 2, and getting 100% immediate deduction. Yay.

 

[jtdiddy]

My log book is being delivered today!!! Daily handwritten log.

Best deal was taking delivery end of 2017, using ONLY for business (visited a client from delivery center!), keeping my personal car til Jan 2, and getting 100% immediate deduction. Yay.

My CPA says this is a bit more risky to claim the section 179 deduction this way but as long as you keep a good log book and use it for more than 50% for business then if on the chance u get audited, you should be ok.

 

[talhas3]

My CPA says this is a bit more risky to claim the section 179 deduction this way but as long as you keep a good log book and use it for more than 50% for business then if on the chance u get audited, you should be ok.

Do you log the miles driven and the points and date in your log books?

I drive around to check on my renovation projects and scope out new ones. Lots of driving. What’s the best way to make sure I’m covering all my bases? I gotta get more organized with these things.

 

[GOPJEW]

Do you log the miles driven and the points and date in your log books?

I drive around to check on my renovation projects and scope out new ones. Lots of driving. What’s the best way to make sure I’m covering all my bases? I gotta get more organized with these things.

I use Teslafi to track everything - I then pull down the logs of my drives - makes it much easier!

 

[AxeBro]

my CPA says that the model x actually qualifies for both the section 179 deduction and the 100% bonus depreciation as they are separate things. For it to be kosher under sec. 179 though, the model x should be bought and registered under the business/company and needs to be used more than 50%.

This was near imposssible in NJ - requires commercial business insurance, and lot of the ones that I called wouldn't cover aTesla. Best I got was from a broker that got a quote from Progressive for almost $4,500 a year. While that in and of itself is also a write-off, the stipulations were a lot ( can't list it on Turo, or on Uber, or any other activity that involves people transport...

 

[Sappy02]

This was near imposssible in NJ - requires commercial business insurance, and lot of the ones that I called wouldn't cover aTesla. Best I got was from a broker that got a quote from Progressive for almost $4,500 a year. While that in and of itself is also a write-off, the stipulations were a lot ( can't list it on Turo, or on Uber, or any other activity that involves people transport...

I tried to get commercial insurance for MX and it’s close to impossible.

 

[Sappy02]

my CPA says that the model x actually qualifies for both the section 179 deduction and the 100% bonus depreciation as they are separate things. For it to be kosher under sec. 179 though, the model x should be bought and registered under the business/company and needs to be used more than 50%.

How does the 100% bonus depreciation work? Are the requirements similar to sec 179? If I had known that this was going to be the case I would have bought the XP100D.

 

[MelaniainLA]

How does the 100% bonus depreciation work? Are the requirements similar to sec 179? If I had known that this was going to be the case I would have bought the XP100D.

It depreciates 100% of what 179
($25,000 limit) doesn’t. In other words, FULL immediate depreciation up to 100% but proportional to documented business use.

 

[Cowby]

I tried to get commercial insurance for MX and it’s close to impossible.

I believe u can get a “commercial endorsement or rider” added to your plan