r/tax•
chbrules

Question: Passing on deductions to next year for company vehicle purchase?

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Apologies for just asking a tax question. I'm a bit new to doing all this myself, as I wanted to understand all this stuff instead of just have an accountant do it.

I purchased a company truck this past year and have the option of taking 80% deduction this year on my S-corp. This 80% special deduction would overshadow the company's net income at the end, leaving me with a significant loss on the tax paperwork. The work truck was ~$90K, and I can take 80% of that deduction for 2023. If I'll end up with like -$40K on the books at the end, can I pass that on for this year's taxes (2024)? I'd prefer to take more now if I'm able to pass the loss on for deduction next year. Otherwise I'll owe taxes for 2023 taking the standard 5 year deduction schedule.

Thanks in advance!

Posted Mar 19, 2024, 10:33 PM UTC

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