Can I Write Off My Boat as a Business Expense?

Section 179 Deduction for Boats

Section 179 allows full purchase deduction the first year, rather than depreciating over time. This can help offset income and reduce taxes owed. Section 179 applies to new or used boats and boat equipment. With documentation and usage requirements, Section 179 can make ownership affordable.

Tax Benefits for Vehicles

Vehicles qualify for deductions if used 50% or more for business. The 2021 maximum Section 179 deduction is $1,040,000. It’s limited to taxable trade or business income.

Business Ownership of a Boat

Buying a boat with your business can offer various tax benefits if used for eligible company activities.

Writing Off Boat Expenses

For a boat to qualify for a business tax deduction, you must prove legitimate business use. Examples include Fishing Charters, Vacation Charters, Transport, Sight Seeing tours, Dinner Tours.

Consultation for Yacht Tax Deductions

Consulting with a tax professional can help determine if you can buy a boat through your business, and what expenses may be deductible.

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