Section 179 + bonus vehicle deduction calculator
For business-use vehicles only: estimate your year-1 deduction under IRC §179 + bonus depreciation. Caps depend on GVWR class. 2026 limits.
The 3 GVWR tiers that determine your deduction
The Section 179 deduction for vehicles trips up a lot of business owners because the cap rides entirely on the vehicle's Gross Vehicle Weight Rating (GVWR). That's not what the truck weighs at the scale. It's the manufacturer's rating printed on the door-jamb sticker, and the three tiers below each have a different ceiling.
| GVWR class | 2026 §179 max | Bonus depreciation |
|---|---|---|
| Passenger auto / SUV ≤ 6,000 lbs GVWR (most sedans, small SUVs) | $20,400 year 1 with bonus ($12,400 without) — §280F luxury auto cap | 100% bonus folded into the $20,400 first-year ceiling (OBBBA), then MACRS |
| SUV/truck 6,001-14,000 lbs GVWR (Tahoe, Suburban, F-250, X7, GLS, Wagoneer) | $32,000 year 1 §179 cap | 100% on remaining basis (OBBBA) |
| Heavy vehicle > 14,000 lbs or qualified non-personal-use vehicle | $2,560,000 (2026 general §179 limit) | 100% on remainder (OBBBA) |
The "business use percentage" qualifier
To take §179 or bonus depreciation, the vehicle must be used more than 50% for business. Personal commuting to a regular workplace doesn't count. If business use is between 50% and 100%, you pro-rate the deduction. If business use drops below 50% in a later year ("recapture"), you reverse the previously-claimed deductions and pay tax on the recapture.
Keep a contemporaneous mileage log. The IRS routinely audits Section 179 claims, and a number you reconstruct from memory months later rarely survives review. MileIQ, Stride, or a cheap notebook in the glove box all do the job. Log business miles against total miles every week so the percentage holds up.
Bonus depreciation is phasing out
The Tax Cuts and Jobs Act (TCJA) bonus depreciation rate stepped down 20 percentage points per year: 100% (2017-2022), 80% (2023), 60% (2024), 40% (2025). The One Big Beautiful Bill Act (OBBBA), signed July 2025, restored 100% bonus depreciation for property placed in service after Jan 19, 2025. For 2026 placements, treat 100% as your default. Switch the dropdown to a historical rate only if you're filing for a vehicle placed in service in an earlier year.
For full ongoing operating costs — registration, EV surcharges, vehicle property tax — see our 5-year cost of ownership calculator. For deducting the actual mileage instead (often better at lower business-use %), use the IRS standard mileage rate — which we cover at our sister site Quarterly1099 (business vehicle deductions).
Frequently asked questions
What is the Section 179 vehicle deduction limit for 2026?
Depends on Gross Vehicle Weight Rating (GVWR). Luxury autos and SUVs ≤6,000 lbs GVWR are capped at $20,400 first-year when you claim 100% bonus depreciation, or $12,400 without bonus (§280F luxury auto limit). SUVs/trucks 6,001-14,000 lbs GVWR cap at $32,000 (the 2026 SUV §179 cap). Heavy vehicles >14,000 lbs GVWR can use the full general §179 limit of $2.56M.
What qualifies as 6,001+ lb GVWR?
Common qualifying SUVs and trucks: Cadillac Escalade, Chevy Tahoe/Suburban, Ford Expedition/F-250/F-350, GMC Yukon, Land Rover Range Rover, Lincoln Navigator, Mercedes G-Wagen/GLS, Porsche Cayenne, Tesla Model X. Check the manufacturer sticker on the door jamb for GVWR — not curb weight.
Do I need to use the vehicle 100% for business?
No, but more than 50% business use is required to qualify for §179 or bonus depreciation. If you use 80% for business, you take 80% of the deduction. Below 50% business use, you must use straight-line depreciation only (no acceleration).
What is bonus depreciation in 2026?
The 2017 TCJA bonus depreciation rate stepped down each year: 100% (2017-2022), 80% (2023), 60% (2024), 40% (2025). The OBBBA (signed July 2025) restored 100% bonus depreciation for property placed in service after Jan 19, 2025 — so 2026 placements get the full 100% bonus.
What is recapture if my business use drops?
If your vehicle is used less than 50% for business in a later year, you have to "recapture" previously claimed §179 and bonus depreciation — reverse the deductions and pay tax on them as ordinary income. Keep a contemporaneous mileage log to defend the original claim.