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The reason theyre selling is likely due to a US small business tax loophole that allows you to write off things like range rovers and escalades as a business ex
by nimbius 2y ago
The reason theyre selling is likely due to a US small business tax loophole that allows you to write off things like range rovers and escalades as a business expense. coupled with US electric vehicle incentives state and federal, and its a pretty sweet deal on the most electric SUV per weight and length you can buy.
Honestly I fully expect to see these things crisping in the sunlit parking lot of a predatory auto lender in about five years, or rolling through the rough part of town on an 84 month co-signed auto loan with liability insurance only, wagon wheels, a lord beerus wrap and aftermarket stereo.
Like Range Rovers and Hummers they will be gobbled up by people who (with petite-bourgeoise socialism) can afford to buy the vehicle, but not maintain it. And if Youtube is any judge of build quality, this vehicle will start to fall apart the minute it exits the factory floor.
- vitaflo 2y agoLiterally every cybertruck I see has been fully wrapped with some business logo on it. I’m not sure I’ve yet seem one that wasn’t bought as a tax write off.
- meowster 2y agoLiterally every cybertruck I see has not had any business logo whatsoever on them.
- ThrowawayTestr 2y agoHow is buying a company vehicle a "tax loophole"?
- mrguyorama 2y agoBecause you buy it as a "company vehicle" but 98% of it's miles are driven for your personal use. Whether the tax code considers that a loophole doesn't matter. It's a loophole to give a personal item the tax treatment of a business asset. You wanted to buy the vehicle anyway, you were going to buy it anyway, but for some absurd reason you get to count a personal vehicle against your company's tax liability.
- JohnFen 2y agoThe IRS considers that tax evasion rather than a loophole, though. Unlike using a loophole, it's actually illegal. That said, you're right -- the practice isn't that rare and that's how it's done.
- quickthrowman 2y agoThe business spends pretax dollars to pay the car payments instead of post tax W2 income or dividends/other cash disbursements that are taxed and then you can depreciate the company car against future income.
- potato3732842 2y agoSo? Businesses spend pre-tax dollars on most things they buy. Most companies literally don't have the margins to be solvent if all their purchasing activity is subject to 20%+ tax.
- NewJazz 2y agoI think the implication is that the small business owners use this tax structure, but then use the car as a personal vehicle rather than a business vehicle.
- quickthrowman 2y agoThis thread is discussing how business owners use tax loopholes to buy personal vehicles as company assets to avoid paying with their personal post-tax money. It’s obvious that most businesses can’t survive if their revenue is hit with income tax before expenses are paid, that’s why revenue is not taxed as income.