2008 Auto Depreciation Limits

IRS Rules on Vehicle Depreciation and Leasing: Economic Stimulus Act 2008

The Economic Stimulus Act of 2008 increased the Section 280F luxury auto depreciation limit by $8,000 for qualifying vehicles placed in service during 2008. The IRS announced that the depreciation limit for passenger autos placed in service during 2008 will be $2,960 for the first tax year, or $10,960 taking 50% bonus depreciation into account, while the limit for trucks and vans placed in service during 2008 will be $3,160, or $11,160 with the 50% bonus depreciation. To achieve parity for vehicles that are leased rather than owned and depreciated, the IRS also published the income inclusion amounts for lessees of passenger autos, trucks, and vans for 2008.

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About the Author

Reed Tinsley CPA

This article is written by Reed Tinsley, a Houston, TX-based CPA with over 30 years of experience advising physicians and medical practices across Texas and the United States. Reed holds certifications as a Certified Valuation Analyst (CVA), Certified Healthcare Business Consultant (CHBC), and Certified Financial Planner (CFP), specializing exclusively in the healthcare sector. He is a published author, nationally recognized speaker, and trusted advisor to physicians on accounting & tax, practice management, and financial planning. Schedule a Free Consultation.