The Jobs bill encourages the purchase of heavy SUVs with the new 50% bonus depreciation’s return for 2010 Here are the tax breaks for firms buying a new heavy SUV:
If your business buys a new $50,000 SUV with a loaded weight of over 6,000 pounds and puts it in service by Dec. 31
You can can expense $25,000, the maximum for vehicles
It can claim $12,500, half of the remaining $25,000 cost, as bonus depreciation
Normal depreciation is 20% of the $12,500 balance
Total first-year write-off...$40,000
Assuming 100% business use
For new only, used heavy SUVs do not get bonus depreciation
