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The legal scam behind companies buying Mercedes G-Wagons to avoid taxes

  • April 10, 2024
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Even though the price is expensive, if you manage to own a Mercedes G-Wagon in America You can avoid taxes legally. Many companies use it as a company

Even though the price is expensive, if you manage to own a Mercedes G-Wagon in America You can avoid taxes legally.

Many companies use it as a company car for this very reason. He prefers to buy a Mercedes G-Wagon. Let’s see what is the real story behind this?

There are several ways companies choose to avoid taxes.

Companies often try all kinds of ways to avoid taxes. Tries to take advantage of tax incentives, increases expenses that can be considered expenses, artificial debts It can reveal… The method where they try to show expenses by buying things that can be shown as expenses, they can’t show all the cars as expenses.

Of course the situation changes if they have a Mercedes G-Wagon… G-Wagon They can show up to $130,000 in expenses and benefit from a tax deduction!

A special corporate tax law in the US makes this legal.

Under US Law No. 179, business owners can list their cars as an expense and benefit from tax deductions. Mercedes G-Wagons, which are considered luxury cars, also have an advantage here due to their weight is greater than 3 tons and is entitled to a discount.

Of course there are some conditions.

To apply this discount, the car must be used for more than 50% commercial purposes. It is also mandatory to include the company name on the vehicle title. Oh, and there’s one more point: car in the current tax year to qualify for tax deductions. before December 31 must be purchased.

In short, when all these conditions are met, companies with Mercedes G-Wagon, legally receives a tax deduction.

Sources: Relay, Mercedes, Marktrealist

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