Disadvantages of Writing Off Your Car in 2024 - Section 179

The untold truth about writing of your vehicle, the vehicle tax deduction, and section 179 as a business. It may seem like a good idea to help you lower your taxes but there are a few things you need to know beforehand. In this video, I go over four reasons why you don't need to write off your car or vehicle.

Timestamps:
Intro (0:00)
What is a Vehicle Tax Deduction? (0:27)
Reason #1 Why You Should Not Write Off Your Vehicle: (1:41)
Reason #2 Why You Should Not Write Off Your Vehicle: (3:02)
Reason #3 Why You Should Not Write Off Your Vehicle: (6:56)
Reason #4 Why You Should Not Write Off Your Vehicle: (8:38)

When you use a vehicle for business, it becomes a business asset which allows you to write off the expenses of that vehicle.

And there are two ways you can write off your car expenses:

With the Actual Expense method you can literally write off most of your actual car expenses.

This includes any repairs and maintenance, insurance payments, tires, tolls, car Insurance, windshield wiper fluid, and the depreciation of the vehicle.

With the Standard Mileage Method, the second way to write off your vehicle, you can write off all of the mileage related to your vehicle.

To get your allowable deduction you would just multiply the miles driven and the standard mileage rate.

I still think that the ability to write off your vehicle as a business and take a vehicle tax deduction is a powerful and beneficial way to lower you taxable income. Just make sure the write off is right for you!

Please be sure to give this video a like and subscribe to our channel so you don't miss out on future videos!

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Disclaimer: The information provided in this video is for informational purposes only and is not meant to take the place of professional legal, accounting, or financial advice. If you have any legal questions about this video or the subjects discussed, or any other legal matter, you should consult with an attorney or tax professional in your jurisdiction (i.e. where you live).

[fwhit]

This is amazing. I couldn't agree more, the accounting youtube personalities NEVER talk about the downsides of 179/bonus depreciation, they just tell you to buy a car and take the deduction.

[zerocal]

I've watched several videos on this and yours is easily the best one. You don't just regurgitate general info. Thank you sir!

[dwaynelattimore]

Love the professionalism good brother. This information was well put together.

[phatpatatit]

Nice video presentation. I like that You get right to the key points and relay the info well👍

[merritt]

Great job with the information. I really appreciate you presenting the cons. Many people see this as an easy deduction, but they don't realize the corner they paint themselves into.

[IvyLeBron-obkz]

This was very helpful indeed, lots of clients asking for 100% write off and sending me videos and driving me nuts; this is the greatest video so far that I'm sending them in response to clear all their "too good to be true" thoughts. Thank you!! Don't stop!!

[lynnchandler]

Great video! This is valuable information that, as you said, others don’t bring out. The title is fair because is is a counterbalance to all the other videos that tell you how and why you should write it off. This highlights important reasons why it could be detrimental to your bottom line such as the danger of 179 deduction and selling the vehicle.

[salpremiers]

This is a great video!!! I learned a lot today. Thank you for this kind of excellent quality video.

[sonneao]

Great video. I liked how you present examples of this vs that, side by side, plus explaining actually what is it for. A lot of people rave about deductions, when sometimes they might not be as effective.

[dtuliao]

Finally got a straight answer. I guess buying a car for my "online" business isn't necessary. Thanks for saving me future headaches.

[jordanh]

Love this channel! After my wife being a 1099 contractor. We officially registered her business this year! LLC (s-corp). Learning more and more about tax from this channel

[MALLARDHOTSHOTS]

Great video thanks for the information

[jerzyfam]

Great video! You have a new subscriber my brother.

[spiritakarabbit]

Dude, you're awesome. Thank you for sharing these insights.

[really]

GEMS!! I honestly was wondering about that.

[DJCoolKevTheTotalPackage]

Great info!!! Ordinary & Necessary...

[nyakeharuna]

Wow I Felt like I overlearned before he even Introduced himself!! 😂😂🤠 Great Work !

[rafaelbronzeado]

the best explanation i ever seen, thank you

[jj]

Amazing, #1 top gum explanation for code 179 …

[Joshuatree]

That was great! Its nice to know that my accountant was correct.