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New Member
posted Feb 25, 2025 7:11:13 PM

Is purchasing a used 4 door passenger vehicle a part of operating start-up cost under section 179 ?

The Vehicle cost = $ 14,399.00 , NC Highway Tax = $ 452.94 Dealer admin fee= $ 699.00 Mechanical Repair Service Contract = $ 2997.00 approx 50,000 mi

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2 Replies
Expert Alumni
Feb 26, 2025 7:39:08 AM

Yes, if the business purchased a vehicle in order to have it for business use as soon as the business started then it would qualify as a start up cost.

 

@jctcooter 

Level 15
Feb 26, 2025 4:18:14 PM

Could you clarify your question?

 

A "Startup Cost" is for expenses incurred before the business starts, but would have otherwise been deductible if the business had already been operating.

 

Section 179 and various depreciation options are for "assets" for the business, which are separate and different than "Startup Costs".