Section 179 Tax Deduction in Arkadelphia, AR

2025 Section 179 Tax Deduction Overview & Limits

Business owners across Arkadelphia and the Hot Springs area frequently ask about the impact of the 2025 Section 179 tax deduction. This small business tax incentive allows you to deduct the full purchase price of qualifying equipment, including vehicles, from your gross income during the current tax year. 

Updated deduction limits, spending caps and bonus depreciation for 2025 create significant opportunities for companies looking to grow their fleets or upgrade work vehicles. The tax incentive can be applied whether you're buying or leasing, as long as the vehicle is new to your business and used primarily for business purposes. 

Using Section 179 strategically can boost your business's savings and efficiency, so it's a key consideration for anyone exploring new or used commercial trucks, vans, or SUVs. 

• 2025 Deduction Limit: $2,500,000¹
• Good on new and used equipment (as long as new to the buyer)
• Purchased or leased

• 2025 Spending Cap: $4,000,000¹ -- This is the maximum amount that can be spent on equipment before the Section 179 Deduction available to your company begins to be reduced on a dollar-for-dollar basis (making it a true small-business incentive) 
• Complete phase-out at $6,500,000

• 2025 Bonus Depreciation: 100%¹
• Defined as: a tax incentive that allows a business to immediately deduct a large percentage of the purchase price of eligible assets
• Generally taken after the Spending Cap is reached
•  Applies to new and used

• Must be purchased and put into use before Dec. 31, 2025¹
• Must be used for business purposes more than 50% of the time
• Must be titled in the company's name (not the company's owner's name)

Which Jeep & Ram Vehicles Qualify for Section 179?

One of the top questions for drivers near Hot Springs is, “Which vehicles qualify for Section 179?”

The good news is that a wide selection of new and pre-owned models are eligible, provided they meet IRS usage and title requirements. Whether your business needs the strength of a Ford Super Duty® pickup, the versatility of a Jeep Wrangler SUV, or the practicality of a Chevy Express van, you'll find outstanding options to fit your needs.

Eligible models include, but are not limited to: