The “One Big Beautiful Bill”: A Game Changer for Fleets & TRAC Leases

If you’re thinking about launching a fleet business, whether it’s last-mile delivery vans, equipment rentals, trucking operations, or service vehicles, you probably already know that the way you acquire assets (buy, finance, lease) is one of your biggest financial decisions.

An article recently published by Sudhir Amembal in MonitorDaily argues that recent U.S. tax law changes, dubbed the “One Big Beautiful Bill”, may actually revive fair market value (FMV) leases, rather than render them obsolete. Monitor Daily

Here’s what you as a prospective fleet owner need to know, and how this may affect your acquisition strategy.

The Tax Changes in a Nutshell (For Fleet Owners)

Two of the most significant changes in the new law are:

  1. Increase in the Section 179 limit: The maximum amount of immediate expensing jumps from $1.25 million to $2.5 million. Monitor Daily

  2. Restoration of 100% bonus depreciation: In effect, this means that qualifying equipment can be fully depreciated (i.e., deducted) in the year it is placed in service. Monitor Daily

On the face of it, these look like massive wins for those who want to buy assets outright, use loans, or use capital (full-payout) leases. You might think leasing, especially FMV leasing, is the loser. But the article argues otherwise.

Breaking It Down for Fleet Owners

  • The tax break has a ceiling
    You can only write off up to $2.5 million worth of equipment before the deal starts to shrink. Once you hit about $4 million in purchases, the benefit fades. Go past $6.5 million and it disappears completely.

  • Big write-offs don’t always help
    If your business isn’t making much money yet, taking a giant deduction in year one won’t do you much good – you can’t use a tax break if there’s no profit to cut down. Plus, loading all the write-offs into one year can leave you with higher taxes in later years.

  • Leasing gives flexibility
    Instead of juggling those limits, leasing keeps payments steady and fully deductible as normal expenses. That means no surprises if you’re not profitable yet or if tax rules shift down the road.

  • Timing matters
    Buying most of your trucks at the end of the year can trigger extra tax penalties. Leasing avoids that problem, since payments are treated as regular expenses.

  • Lessors share the perks
    With an FMV lease, the leasing company gets the tax breaks. But here’s the upside: they often roll those savings into your monthly payments, so you still benefit even though you’re not the one claiming the write-off.

What This Means for Fleet Startups & Growth

Putting those tax mechanics into plain terms, here are strategic implications for someone starting or expanding a fleet:

  • Don’t rule out leasing
    Buying feels like the obvious choice, but leasing can stretch your dollars further and keep your monthly costs steady.

  • Watch the limits
    Once you buy a certain amount of trucks or equipment, the tax breaks start to fade. Mixing buying and leasing can help you get the most out of the system.

  • Pick the right leasing partner
    Some leasing companies know how to use the tax perks to their advantage, and they’ll pass those savings on to you through lower payments. Make sure you’re working with one of them.

  • Avoid surprises later
    If you take all your tax breaks up front, you could get hit with higher bills in later years. Leasing helps spread things out and keeps things more predictable.

  • Think about where your business is now
    If you’re just starting and not making much profit yet, big write-offs won’t help you. Regular lease payments might actually save you more in the long run.

How Trans Lease Can Help

Figuring out whether to buy or lease for your fleet doesn’t have to be complicated. At Trans Lease, we work with business owners every day to create financing and leasing solutions that keep cash flow steady, reduce risk, and take advantage of today’s tax benefits. Whether you’re putting your first truck on the road or scaling a full fleet, our team can help you find the right fit.

Ready to explore your options? Reach out to Trans Lease and let’s build your fleet the smart way.