In Tax Twist, Big Vehicles Get the Bigger Deductions

Ok...I admittedly own an SUV. It gets decent mileage, it's built on a minivan (vs truck) frame, and we only almost never drive it in the city, only trips out of the city (Hamptons, Po-town, Illinois, etc). That said, this article on the NYTimes disgusts me. The gist is that due to a confluence of normal tax laws plust incentives passed after the thing last year, self-employed people and small business owners who buy the mega-SUVs can deduct over USD $24,000 from their income this year where in the past they could deduct maybe $7k-8k. Basically in the we have to wreck the ecology to save the economy mood of the past year, any vehicle over $24,000 generates a $24,000 capital tax credit. If you buy a Hummer, you can deduct up to $34,912 of the $48,000 vehicle price. (If you buy a Hummer and drive in in the streets of NYC you are absolutely insane).

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Slightly acerbic and eccentric dog walker who masquerades as a web developer and occasional CTO.

Spent five years running the technology side of the circus known as www.ibm.com.

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