Quick Reference: 2026 Section 179 Limits
- Max Deduction (2026): $2,560,000
(phase-out begins above $4,090,000)
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Bonus Depreciation: 100% (applies after Section 179)
-
New & Used Equipment: Qualifies for full Section 179 deduction
- Specialized (Non‐Passenger) Vehicles:
Qualifies for full Section 179 deduction
- Certain SUVs (6,000–14,000 lbs GVWR):
$32,000 max first-year Section 179; remainder depreciated
- Business‐Use Requirement:
50% business use; deduction limited to % of business use
Note: The Section 179 deduction phases out dollar-for-dollar
when the total cost of qualifying property placed in service
exceeds $4,090,000 and is fully phased out at $6,650,000.
These limits are updated annually for inflation. For background on recent rule changes and effective dates, see our Legislative History page.
(Click the Section 179.org below for their website)
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