Mercedes-Benz Union Van Tax Deductions

A Mercedes-Benz Sprinter van offers flexible interiors and body style options for hauling equipment or transporting work crews or passengers. Multiple cargo configurations are available, and there are even Sprinter chassis-cab models that you can customize to your exact needs. 

And, because they’re typically used as a business vehicle, Mercedes-Benz vans often qualify for a tax deduction.

You can view the Mercedes-Benz commercial van selection at Ray Catena of Union and find the Mercedes-Benz Metris or Sprinter that best fits your business’s needs.

After you’ve chosen a qualifying Mercedes-Benz vehicle, you can learn about the tax savings available to you.

Are Sprinter Vans Tax Deductible?

Business-use vehicles, such as a Sprinter passenger van or a vehicle for carrying cargo or business equipment, can often qualify for a deduction. The IRS has specific rules and factors that will affect your potential tax savings.

Eligible Mercedes-Benz vehicles include a Metris cargo van, Metris passenger van, and any variety of Mercedes-Benz Union that you use for business purposes more than half the time.

Can You Write Off a Sprinter Van?

Business owners with small- and medium-sized businesses can deduct money spent on an equipment purchase if they use the equipment for business purposes more than 50% of the time. Make the vehicle deduction under Section 179 of the IRS Tax Code. You can deduct the full purchase price from your gross income. This includes business equipment, tools, software, vehicles, and any other assets that lose value over time through depreciation.

How Much Can I Deduct?

How much can you deduct from the purchase of a Mercedes-Benz Sprinter van or other eligible Mercedes-Benz vehicle? The maximum deduction may be the full cost of the vehicle if it’s within the current IRS limits, which could potentially mean thousands of dollars in tax savings or returns.

For the 2021 tax year, the maximum Section 179 deduction limit is $1.5 million for all equipment you put into service during the year. If you are specifically purchasing a vehicle, such as a 2021 Mercedes-Benz Sprinter van, the total deduction can be up to $26,200. That is a total tax savings of as much as $5,502.

How Can I Qualify for the Mercedes-Benz Section 179 Tax Deduction?

How can business people get a tax break on a vehicle in the Mercedes-Benz van lineup? In addition to using the vehicle for business driving more than 50% of the time and meeting cost requirements, the vehicle must be put into service during the current tax year (between January 1 and December 31 of the relevant tax year). You will need to record mileage to prove that your vehicle passes the 50% threshold.

You cannot take the full deduction if you do not use the vehicle for business 100% of the time. For example, if you purchase a new or pre-owned Mercedes-Benz Sprinter and use it for business 80% of the time, you can multiply 80% by the total purchase price to get the amount for your deduction.

How to Get Tax Deductions on Mercedes-Benz Fleet Vehicles

The Mercedes-Benz Section 179 tax deduction can also apply to fleet vehicles. Since purchasing multiple qualified vehicles could bring the maximum amount of your overall 179 deductions into play, it is best to engage in financial planning with an accountant before making your purchases.

How to Qualify for the Bonus Depreciation Deduction

New Mercedes-Benz vehicles purchased during the year are also eligible for a deduction based on their first-year depreciation. Provided you use the vehicle at least 50% of the time, it is eligible for the deduction. The purchase must be a commercial vehicle with a gross vehicle weight rating of over 6,000 lbs.

Contact Ray Catena Mercedes-Benz of Union/span>

If you would like to take advantage of the Mercedes-Benz Section 179 deductions before the end of 2021, you can visit Ray Catena Mercedes-Benz of Union. We offer a full-service dealership with a luxury approach to auto shopping. You can select the 2021 Mercedes-Benz Sprinter van that best fits your needs in a comfortable, low-pressure environment.

Browse all new Mercedes-Benz Vans inventory.

Please contact us for more information, or for help finding a commercial van that can provide years of (tax deductible) power to your business.

Mercedes-Benz of Union 40.689972906402986, -74.30418529865368.