A passenger automobile is any four-wheeled vehicle made primarily for use on public streets, roads, and highways and rated at 6,000 pounds or less of unloaded gross vehicle weight (6,000 pounds or less of gross vehicle weight for trucks and vans). It includes any part, component, or other item physically attached to the automobile at the time of purchase or usually included in the purchase price of an automobile. The following vehicles are not considered passenger automobiles for these purposes.
• An ambulance, hearse, or combination ambulance-hearse used directly in a trade or business.
• A vehicle used directly in the trade or business of transporting persons or property for pay or hire.
• A truck or van that is a qualified nonpersonal use vehicle.
Passenger vehicles are limited to the amount of the deduction that can be taken on the vehicle by specific dollar limitations and % of business use.
You cannot elect to expense more than $26,200 of the cost of any heavy sport utility vehicle (SUV) and certain other vehicles placed in service in tax years beginning in 2021. This rule applies to any 4-wheeled vehicle primarily designed or used to carry passengers over public streets, roads, or highways that is rated at more than 6,000 pounds gross vehicle weight and not more than 14,000 pounds gross vehicle weight. However, the $26,200 limit does not apply to any vehicle:
• Designed to seat more than nine passengers behind the driver's seat;
• Equipped with a cargo area (either open or enclosed by a cap) of at least 6 feet in interior length that is not readily accessible from the passenger compartment; or
• That has an integral enclosure fully enclosing the driver compartment and load carrying device, does not have seating rearward of the driver's seat, and has no body section protruding more than 30 inches ahead of the leading edge of the windshield.
You should read the IRS publications to ensure that the vehicle is classified properly for its weight and meets the other requirements. In addition, there is a limitation on that total amount of all section 179 property that can written off in a year and also may be limited by the amount of income reported for the business.
Here the information for listed property and the limitations: IRS Publication 946 (How to Depreciate Property)
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