Calculator · vehicle write-off
Vehicle Tax Deduction Calculator
Standard mileage or actual cost with Section 179? For a vehicle you use in the business, the right answer can be thousands apart. Compare both first-year deductions side by side.
Your vehicle & use
$
%
$
Section 179 / actual cost wins
$12,800
estimated first-year tax savings
Standard mileage deduction$8,400
Section 179 / actual deduction$40,000
Business use67%
Tax saved (mileage)$2,688
Tax saved (Section 179)$12,800
Expensing the vehicle beats the mileage method by about $31,600 in first-year deductions here. Remember: pick a method in year one and you may be locked in.
Education only, not tax advice. Section 179 and bonus depreciation have weight classes, business-use thresholds, recapture, and annual caps that change year to year. The mileage rate shown is editable; confirm the current figures and your eligibility with your CPA.