Section 179 deduction questions

Section 179 deduction questions

I'm a current 2016 MS owner considering the new MX.

I'm a small business owner, and of the appeals of the MX is the Sec 179 deduction. I have a couple of questions about that:

1) Do I have to have a "reason" to need a >6,000 lb. vehicle in my business in order to qualify?

2) Using the calculator at this link (, it appears that I can deduct the full expense of the car during the first year! This leads to a cash savings of >$40,000. Has anyone consulted with their CPA about this yet? I haven't had a chance to yet.


Uncle Paul | May 2, 2019

My CPA rejoiced at this deduction. Made getting the X a financial no brainer. Ended up being less expensive than a Model 3.

You do not to have a reason for the car, just that it will be used for your business and you need to keep records of personal vs. business use. Most important detail is the date than it will be put into service. Usually the date of delivery. Even if put into service at the end of the year, it can be totally written off that year.

Everybody's tax situation is different, so you should run it by your tax advisor to see how it could benefit you.

I'm kind of hoping that the Model Y will have a GVW of +6,000s. Will do it all over again.

switters | May 3, 2019

That's fantastic! I'll definitely check with my CPA, but this is encouraging.

jimglas | May 3, 2019

I did this and my refund is in the bank, but only used about 55% for business.

emerylchen | March 15, 2020

Gross vehicle weight rating (GVWR) for the Model Y is 5300 lbs. Well under the required >6000 lbs. to qualify for section 179.

Uncle Paul | March 15, 2020

For small profitable business owners, this will usually make buying a Model X far less net expensive than S, Y or 3.