Section 280f

To the extent that 280f limits otherwise allowable depreciation the owner may deduct that depreciation but not until the recovery period for the automobile has ended.

Section 280f. 280f c limits deductions for the cost of leasing automobiles expressed as an income inclusion amount according to a formula and tables prescribed under regs. 280f b 2 when the business use of section 179 or listed property decreases to 50 or less. 280f a 1 b i in general except as provided in clause ii the unrecovered basis of any passenger automobile shall be treated as an expense for the 1st taxable year after the recovery period.

Section 280f a 1 a i limits the amount of depreciation that owners may claim on passenger automobiles in a given tax year. Limitation where certain property used for personal purposes a limitation on amount of depreciation for luxury automobiles. 1 1994 if such property placed in service as part of specified rehabilitations and not applicable to certain additional rehabilitations see section 251 d 2 3 of pub.

The october 2016 index exceeded the october 1987 index by 27 832. Section 280f is a policy that makes the internal revenue code more accurate by allowing a taxpayer to report their business use on an asset they may also need for some personal reasons. 2019 26 contains the income inclusion amounts for lessees of passenger automobiles first leased during 2019.

Section 280f d 7 b ii defines the term cpi automobile component as the automobile component of the consumer price index for all urban consumers published by the department of labor. Allowable as a deduction by reason of this subparagraph shall be treated as a depreciation deduction allowable under section 168. Table 4 of rev.

The new car component of the cpi was 115 2 for october 1987 and 143 032 for october 2016. 99 514 not applicable to any property placed in service before jan. 99 514 set out as a note under section 46 of this title.

Limitation where certain property used for personal purposes. Amendment by section 201 d 4 of pub. Section 280f was enacted to limit certain deductions on depreciable assets.