Depreciation limits on business cars and clean-fuel vehicles. The total section 179 deduction and depreciation you can take on a car (that is not a clean-fuel vehicle) you use in your business and first place in service in 2000 is $3,060. The maximum depreciation deduction for a clean-fuel vehicle that you first place in service in 2000 is $9,280. For the maximum depreciation you can deduct in later years, see Special Rule for Passenger Automobiles in chapter 4.

Increase to the section 179 deduction. The total cost you can elect to deduct for section 179 property you place in service during 2000 increases to $20,000. This amount will continue to increase through 2003. See Maximum Dollar Limit in chapter 2.

Increased section 179 deduction for enterprise zone businesses. You may be able to claim an increased section 179 deduction if your business qualifies as an enterprise zone business. The increase can be as much as $20,000, but it cannot be more than the cost of qualified zone property which is section 179 property placed in service in an empowerment zone during the year.

For information on empowerment zones and enterprise communities, see Publication 954, Tax Incentives for Empowerment Zones and Other Distressed Communities.

Photographs of missing children. The Internal Revenue Service is a proud partner with the National Center for Missing and Exploited Children. Photographs of missing children selected by the Center may appear in this publication on pages that would otherwise be blank. You can help bring these children home by looking at the photographs and calling 1-800-THE-LOST (1- 800-843-5678) if you recognize a child.

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