The luxury car rules for depreciation essentially limits the amount that can be written off, it is not a brand or type necessarily.
Congress decided years ago that the taxpayers should not subsidize
extravagant vehicles used by business. To prevent that, the law squeezes
otherwise allowable depreciation deductions for “luxury cars.” But
don’t think Rolls Royce or Ferrari. Congress has a much less extravagant
view of luxury. For 2017, the maximum first-year depreciation write-off
for a new (not used) car is $3,160 plus up to an additional $8,000 in
bonus depreciation. For a used car, the maximum first-year write-off for
2017 is a much lower $3,160. (These figures assume 100% business use.)
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