The good news… The IRS allows you to amend your Section 179 deduction.
The bad news… If you choose to use the IRS mileage rates, the tax law grants you no Section 179 deduction and no ability to amend your tax return to claim it.
But hang on. All is not lost. You can still recover many of those lost deductions by switching to the actual expense method explained in our must-read new article titled Tax Tips: IRS Mileage Rate Kills Section 179 1040X. Don’t miss it!
Three ways our fact-filled article can help you.
- We’ll explain why there’s still hope. You may not have hurt your vehicle’s expensing possibilities if that vehicle was subject to the luxury auto limits. Most cars, light SUVs, light pickup trucks, and light crossover vehicles are subject to the luxury limits. You’ll learn more when you read the full article.
- How one taxpayer killed his pickup truck deduction. You’ll learn how Fred Smith lost his deduction on his $50,000 pickup. It’s an instructive story that can help keep YOU out of trouble. read the full article.
- The cure for the Section 179 problem? Switch to straight-line depreciation. The fact is, you can switch from the standard mileage rate to the actual expense method in the current year, 2010. We’ll explain this in detail when you read the full article.