You may be able to expense up to $125,000 for Mitsubishi Fuso medium duty commercial  trucks purchased and put in service in 2007.

Tax incentives in effect for tax year 2007 may allow you to deduct the full value of a new commercial truck or trucks placed in service during the tax year.
 

Internatl Revenue Code,Section 179 (IRC 179) generally allows you to immediately expense certain capital equipment instead of depreciating it over time. The maximum capital purchase you can elect to deduct as an expense for 2007 has been set at $125,000 for qualifying property ($160,000 for qualified enterprise zone property and qualified renewal community property). The asset must be placed in service in the tax year in which it is deducted.

The deduction is applicable to a wide range of capital property, including commercial trucks with a gross vehicle weight rating of over 6,000 lb. There are limitations based upon the amount of qualifying property placed in service during the year and based on taxable income derived from the active conduct of trades or business.

MFTA is not providing tax advice. Please consult your tax advisor for details on how this can apply to your situation and to investigate other tax incentives for capital purchases.

Questions or Comments?  Please Contact Commercial Truck Specialist:
Tom Tesch
262-628-3338
262-628-4621
Email Tom HERE