2024 Bonus Depreciation Percentage For Vehicles. The section 179 deduction and bonus depreciation provide additional deductions to income in year a vehicle is placed in service thereby reducing a company's tax liability. Prior to enactment of the tcja, the additional first year depreciation deduction applied only to property where the original use began with the taxpayer.

The biggest benefit of the current auto deduction is the strategy of bonus depreciation. For 2024, the maximum luxury auto depreciation deductions are as follows: