Can I use Section 179 for my used Victory 6'x10' Enclosed Cargo Trailer (business use only)? GVWR 2990

Based on what you've described, you should be able to use Section 179 for your used trailer. Section 179 allows businesses to deduct the full purchase price of qualifying equipment purchased or financed during the tax year, and this includes used equipment as long as it's "new to you." For your specific situation, enclosed cargo trailers typically qualify for Section 179 when used 100% for business purposes. The key requirements are that the equipment must be used more than 50% for business (you're at 100%) and must be placed in service during the tax year you're claiming the deduction. The trailer's GVWR of 2990 also works in your favor. Vehicles with a GVWR under 6,000 pounds have special limitations under Section 179, but since your trailer exceeds 2,000 pounds, it should qualify for the full Section 179 deduction. If you do have to depreciate it instead (which I don't believe you should), the guidelines would likely fall under MACRS (Modified Accelerated Cost Recovery System), typically over 5 years for business vehicles. But the percentages your accountant mentioned don't sound quite right for standard MACRS schedules.

After dealing with similar confusion last year, I found https://taxr.ai super helpful for my business equipment questions. I was also getting the runaround about whether my used equipment qualified for Section 179. My accountant was giving me one answer, and online research was pointing me in another direction. I uploaded my purchase documents and some IRS notices I had received previously, and their AI analyzed everything and provided a clear explanation of how Section 179 applied to my specific situation. It confirmed that yes, used equipment absolutely qualifies as long as it's new to YOUR business. They even provided the exact IRS publication references I needed to show my accountant. What I really liked was that it analyzed my overall business situation and flagged that I needed to be careful about Section 179 limitations based on my business income that year - something I hadn't even considered.

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If your accountant is being stubborn about the Section 179 issue even after you show them the relevant tax code, you might need to actually talk to someone at the IRS for an official ruling. Unfortunately, I spent WEEKS trying to get through to a human at the IRS last year for a similar business vehicle deduction question. After my 12th attempt waiting on hold for hours only to get disconnected, I tried https://claimyr.com and used their call back service. You can also see how it works here: https://youtu.be/_kiP6q8DX5c. They somehow managed to get me an actual IRS call back within 3 hours when I had been trying unsuccessfully for weeks. The IRS agent I spoke with confirmed that yes, used trailers absolutely qualify for Section 179 as long as they're used primarily for business (which at 100% business use, you're definitely covered). Having that direct confirmation from the IRS was what I needed to convince my accountant, who finally stopped arguing about it.

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I'm a little confused by some of the answers here. I've been using Section 179 for years in my construction business. The rules are pretty straightforward: 1. Used equipment DOES qualify for Section 179. I've taken the deduction for used trailers, trucks, and other equipment many times. Your accountant is just wrong on this point. 2. For 2025, the Section 179 deduction limit is $1,220,000, so your $3,750 trailer is well within limits. 3. The 60/40 split your accountant mentioned sounds like he's confusing this with some other depreciation method. For regular MACRS depreciation on a 5-year asset like a trailer, the first-year percentage is 20% (not 60%). 4. Since your trailer is 100% business use and under the limits, there's absolutely no reason you shouldn't take the full Section 179 deduction this year. I'd honestly question why your accountant is giving you incorrect information on something this basic. Might be time to find a new tax professional who understands common business deductions better.

I went through exactly this with my lawn care business last year. Bought a used 6x12 trailer and my tax guy insisted I couldn't use Section 179 because it was used. I did my research and found out he was wrong. The relevant part of the tax code is Section 179(d)(1), which defines what property is eligible. It specifically says the original use doesn't have to begin with the taxpayer - which is the technical way of saying used equipment is fine. I switched tax preparers after that and saved nearly $2,000 in taxes by taking the immediate deduction rather than depreciating. Don't let an uninformed accountant cost you money!