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New Member
posted Feb 19, 2021 5:25:34 PM

I purchased a truck to use exclusively for use maintaining my rentals properties which are Schedule E income. Can I deduct the the full purchase price (cash) anywhere?

I am already deducting standard mileage deduction.

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1 Replies
Expert Alumni
Feb 19, 2021 6:55:25 PM

For new and pre-owned vehicles put into use in 2020 (assuming the vehicle was used 100% for business):

  • The maximum first-year depreciation write-off is $10,100, plus up to an additional $8,000 in bonus depreciation.
  • For SUVs with loaded vehicle weights over 6,000 pounds, but no more than 14,000 pounds, 100% of the cost can be expensed using bonus depreciation.

However, you may have a Depreciation Recapture later, when you sell/trade the vehicle or stop using it for Business.

 

When you enter your Vehicle as an asset in the Rental section, you will be asked for your choice (in the first year you started using it for Business). 

 

Click this link for more info on Business Use of Vehicles