Savvy business owners know that it's essential to have a reliable vehicle that ensures all operations run smoothly — or even a fleet of vehicles! With the range of commercial Ford trucks and SUVs to choose from at our Ford dealership in Newberg, local drivers can head home in a vehicle they love. Plus, vehicles purchased for business reasons are often eligible for the Section 179 tax deduction, which offers significant savings when filing your tax returns.

The Section 179 deduction is a popular tax incentive program designed to financially assist small- to medium-sized businesses. By leveraging this tax rebate after purchasing a new Ford commercial van or even a used car at Newberg Ford, you may be able to deduct some or all of its value on your tax return. Please note that the vehicle must be purchased, registered and put into use by December 31, 2025, to qualify.

For the 2025 tax year, businesses can deduct the cost of eligible new or used Ford vehicles under Section 179, with a deduction limit of $1,250,000 and a spending cap of $3,130,000. To qualify, the vehicle must be purchased and put into service by December 31, 2025, and used more than 50% for business purposes. Heavier vehicles like large trucks and SUVs with a Gross Vehicle Weight Rating (GVWR) over 6,000 lbs are eligible, with potential for higher deductions under different rules for qualifying vehicles.

Ford Vehicles Eligible for Section 179

Several new Ford trucks and SUVs are eligible for a complete Section 179 deduction, depending on their size and usage. Key conditions include using the vehicle for business purposes more than half of the time and putting it into service before the end of the year.

Business Use: The vehicle must be used for business purposes more than 50% of the time.

Weight Requirement: To be eligible for Section 179 deductions, a vehicle's GVWR must be over 6,000 pounds.

Examples: Eligible vehicles include heavy Ford SUVs like the Expedition, and heavy-duty Ford trucks like the F-250 and F-350 Super Duty.

Ford models potentially qualifying for full or partial tax deductions include:

• Ford Expedition
• Ford Expedition MAX
• Ford F-250
• Ford F-350
• Ford F-450
• Ford F-550 S
• Ford Transit Cargo Van
• Ford Transit Passenger Wagon

2025 Section 179 Deduction Limits

The Section 179 tax deduction applies to commercial vehicles, SUVs and trucks based on specific weight and design requirements. While specific vehicles used solely for work may qualify for 100% deductions, traditional passenger vehicles can only get partial deductions. The limits for the Section 179 deduction in 2024 are:

• 2025 Deduction Limit: $1,250,000 — applies to new and used equipment (must be new to the buyer).
• 2025 Spending Cap: $3,130,000
• 2025 Bonus Depreciation: 60% — valid for new and used equipment.
• Passenger vehicles (such as pickups or heavy SUVs) weighing between 6,000 and 14,000 pounds can achieve a maximum first-year deduction of up to $28,900 in 2024.¹

Purchase a New Ford Near You

If you're shopping for a new Ford commercial van or work truck in Newberg, give us a call. The Newberg Ford commercial sales team can share more about the benefits of the Section 179 program. When you're ready to grow your business with a new Ford Super Duty® or Transit van, we're here to help you make the most of your purchase.

¹ Information is accurate at the time of publishing. Refer to https://www.section179.org for the most current details.