If you own a small business or work for yourself around Effingham, the 2026 Section 179 tax deduction may help you put a capable new Jeep or Ram to work while investing in your bottom line. At Goeckner Bros Inc, a family-owned and -operated dealership serving Southern Illinois drivers since 1937, our team helps local business owners understand how qualifying trucks, vans and SUVs may fit into their vehicle tax strategy.
Based in Effingham and ready to serve customers across the region, our team can guide you through your options before the December 31, 2026 deadline.1 This content is provided for informational purposes only, so please consult a qualified tax professional to confirm how Section 179 applies to your specific situation.
2026 Section 179 Tax Deduction Overview & Limits
Section 179 of the IRS tax code lets eligible businesses deduct the purchase price of qualifying equipment, including certain business-use vehicles, in the year they're placed into service rather than depreciating the cost over several years. It's designed as a true small-business incentive that rewards companies for investing in the tools and vehicles they need to grow. Review the general guidelines below, then talk with a qualified tax professional about your situation:
- 2026 Deduction Limit: $2,560,0001
- Good on new and used equipment (as long as new to the buyer)
- Purchased or leased
- 2026 Spending Cap: $4,090,0001 -- This is the maximum amount that can be spent on equipment before the Section 179 Deduction available to your company begins to be reduced on a dollar-for-dollar basis (making it a true small-business incentive)
- Deduction begins to be reduced on a dollar-for-dollar basis -- this cap is what makes it a "small business tax incentive"
- Complete phase-out at $6,650,000
- 2026 Bonus Depreciation: 100%1
- Defined as: a tax incentive that allows a business to immediately deduct a large percentage of the purchase price of eligible assets
- Generally taken after the Spending Cap is reached
- Applies to new and used
- Must be purchased and put into use before Dec. 31, 20261
- Must be used for business purposes more than 50% of the time
- Must be titled in the company's name (not the company's owner's name)
Which Jeep & Ram Vehicles Qualify for Section 179?
How a vehicle qualifies under Section 179 depends largely on its Gross Vehicle Weight Rating (GVWR) and how it's used for your business. In general terms, heavier work-oriented vehicles offer more favorable treatment, while lighter passenger vehicles are subject to stricter IRS limits. The chart below outlines how each category is treated:
Full Section 179 deduction available 1
- Heavy SUVs & Trucks (Over 6,000 lbs. GVW) (excludes some pickups/vans): $32,000 maximum Section 179 1
- Cars, Light Trucks & SUVs (Under 6,000 lbs.): Subject to IRS "luxury auto" depreciation limits (Section 280F) 1
Eligible options at our dealership include capable Ram commercial trucks, HD Ram truckand chassis cab configurations and efficient ProMaster vans, along with versatile Jeep SUVs suited for business use. Our team can help you match the right vehicle to the Section 179 category that fits your plans.
Eligible models may include:
- Ram 1500
- Ram 2500
- Ram 3500
- Ram ProMaster
- Jeep Grand Cherokee
- And more!
How Do I Use the Section 179 Tax Incentive?
Using Section 179 is simpler than many business owners expect. Once you purchase a qualifying Jeep or Ram from our new inventory and place it into business service before December 31, 2026, you may be able to deduct a significant portion of the purchase price on your 2026 tax return instead of spreading it across multiple years.1 You'll generally need to document that the vehicle is used for business purposes more than 50% of the time and that it's titled in your company's name.
Prefer a used option? Section 179 also applies to vehicles from our used inventory as long as they're new to your business. Our finance team can help you compare purchase and lease paths, though your accountant or tax professional should always confirm the exact deduction you can claim.
Commercial Ram Vehicles for Sale Near Me
When Effingham and Mattoon area business owners want a dealership that understands commercial needs, they turn to our team at Goeckner Bros Inc. As your local Ram dealer, we stock HD Ram truck and chassis cab options along with efficient ProMaster vans built to tackle any job, backed by nearly a century of hands-on experience serving hardworking Southern Illinois businesses.
Ready to see which Jeep and Ram vehicles may fit your Section 179 strategy? Visit us at 600 E Fayette Ave in Effingham, explore our lineup or contact our team today to get started before the December 31, 2026 deadline!
1 Information accurate at date of publishing. Refer to https://www.section179.org for most up-to-date specifications.
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Goeckner Bros Inc Section 179 Tax Deduction FAQs
01Can vehicles be deducted under Section 179?
Yes, certain business-use vehicles can be deducted under Section 179, which lets eligible businesses deduct the purchase price of qualifying equipment in the year it's placed into service. Our team at Goeckner Bros Inc in Effingham can help you explore qualifying Jeep and Ram trucks, vans and SUVs, though a qualified tax professional should confirm your eligibility.
02Does Section 179 apply to used car purchases?
Section 179 applies to new and used equipment as long as the vehicle is new to your business and placed into service before December 31, 2026. We offer a full used inventory in Effingham and near Mattoon, and our finance team can help you compare purchase and lease paths.
03Can Section 179 be claimed multiple times?
Section 179 can generally be used year after year as your business invests in qualifying equipment, subject to the annual deduction limit and spending cap. Because deduction rules can change with legislation, consult a qualified tax professional to confirm how it applies to your specific situation before purchasing at Goeckner Bros Inc in Effingham, IL.
04What is the Section 179 tax deduction limit?
For 2026, the Section 179 deduction limit is $2,560,000, good on new and used equipment that is new to the buyer, whether purchased or leased. Vehicles must be used for business purposes more than 50% of the time and titled in the company's name.
05What is the 2026 Section 179 spending cap?
The 2026 spending cap is $4,090,000, which is the maximum a company can spend on equipment before the Section 179 deduction begins to phase out on a dollar-for-dollar basis, with complete phase-out at $6,650,000. This cap is what makes it a true small-business incentive.