As we come to the close of 2008, this economy has caused a volatile year for many. Many Americans have had to scramble to make a living and adjust to changing times. With higher gas prices and costs of living escalating to new levels, many businesses are on the brink of extinction. For the lucky few, that have had a profitable year, it is time to maximize the situation and plan to minimize the tax burden. The government has made some substantial changes in 2008 for investing in the U.S and we are going to look at the depreciation area for qualified acquisitions.

The following is one of the incentives that is available for 2008: Increased Section 179 limits. The maximum section 179 deduction you can elect for qualified section 179 property you placed in service in tax years that begin in 2008, has increased to $250,000 ($285,000 for qualified enterprise zone property and qualified renewal community property). This limit is reduced by the amount by which the cost of section 179 property placed in service in the tax year exceeds $800,000. For qualified section 179 Gulf Opportunity (GO) Zone property placed in service in certain counties and parishes of the GO Zone, the maximum deduction is higher than the deduction for most section 179 property.

Special depreciation allowance for certain property. You may be able to take an additional first year special depreciation allowance for certain qualified property (defined below). The allowance is an additional deduction of 50% of the property’s depreciable basis (after any section 179 deduction and before figuring your regular depreciation deduction).

Examples of Qualified property are the following and must also meet all of the following tests.

Dump trucks, garbage trucks, water trucks, boom trucks, vacuum trucks, semi trucks, excavators, backhoes, forestry equipment, farm equipment, office equipment, machinery and equipment, production equipment, garbage truck, cement and concrete trucks,computers etc.

Qualified property must be placed in service after December 31, 2007, and before January 1, 2009 (before January 1, 2010, for certain transportation property and certain property with a long production period).

The original use of the property must begin with you after December 31, 2007.

In a nutshell here is an example to illustrate the information above. Lets assume the following facts. You are a corporation, sole proprietorship etc and your net profit is $600,000 from January 1, thru October 31, 2008, November and December will be a breakeven therefore, we are at the $600,000 profit for the year based upon our estimate. We have some new signed contracts for the end of 2008 or beginning of 2009 and we need to buy some major equipment in the last month of the year and take delivery before the end of the year.

Obvious from this example, this could be a big bonanza to reduce taxes in 2008 without the major outlay of upfront money. It is important to obtain current interim 2008 financial statements from your CPA, bookkeeper, or in house books now to study your tax situation for 2008. This example above can be scaled back or up to a smaller or larger version and can have a tremendous impact on your company’s 2008 tax situation. These depreciation rules only apply to a profitable company and shouldn’t be considered for additional operating losses. Additionally, it is recommended that you consult with a qualified tax person because this tax law change is new and is higher upgraded from the allowable deductions for 2007.. For companies looking to acquire qualified assets for 2008 with substantial profit, there are limitations and phase out rules for acquistions over $800,000. Tax planning is important at this time of year whether you are Profitable or not and consulting with a qualified tax person is as equally as important . The dollars invested in this area, if done properly, will reward your company handsomely.

In today’s economy, start up and seasoned businesses have an unique opportunity to acquire an attractive deal for any type of Peterbilt truck. The first option, for the buyer, is to visit their local dealer and find his truck there. This is great place to start and obtain pertinent information that will be used later in the data gathering process. From there, it is recommended searching the internet and its mass volume of data that is available. The potential buyer can visit such sites as truck paper and truck trader etc to view thousands of listings of trucks available across the United States. He is able to sort and sift through this vast data and should be able to find a truck, in any city and/or state across the U.S, that meets his acquistion requirements. Once he has located a source of trucks available to him, he is able to contact these sellers and negotiate a deal that might be able to meet his needs. Once he is agreed to a price and its particulars, his next hurdle is to find adequate financing in today’s complex lending world of this commodity.

The type of Peterbilt trucks we are identifying for this article is the following:

dump trucks, semi trucks, garbage and refuse trucks,Tow trucks, Cement Trucks, Concrete Trucks, Flatbed Trucks, etc

Today, the financing arena for Peterbilt trucks has become much smaller, especially for over the road trucks.. Lenders, in the past, that use to finance this niche market have either pulled their portfolio funds out of this area or have modified its lending requirements. It is not unheard of today that a start up business must commit to a down payment of between 10% - 30% of the acquistion cost of the Peterbilt truck to enter this market. The seasoned business with good credit might be able to get in as little as one payment down plus documents fees but must have either A or B Credit. Other seasoned businesses that don’t meet these credit requirements, may be required to put up 10-20% down or either put up additional collateral as their credit scores fall below 600. Most buyers don’t enjoy these tightening financial requirements, are locked out of this market, and will start looking for alternatives that are available due to market conditions. In addition to the market requirements of substantial monies due upfront, the conventional lender has modified his risk/reward factor for the failure and possible repossession of these trucks. Therefore, the rate and/or interest factor that the lender charges has gone up making it a bigger challenge to complete the financing end once the want to be buyer locates his acquisition….

By definition, a Peterbilt off lease Truck has been returned to the lender as the lease has expired. The lessee has made a decision to return the item in lieu of exercising the buyout option. A repossession is different than an off lease because it has arisen due to a default of the lessee for non payment terms or a violation of the terms of the lease. Either way, the lender has taken these trucks back and/and now must recondition these trucks and either sell these trucks or re-lease them. The lender can either advertise their off lease and repo inventories through their internal sales force, trade journals such as truck paper, truck trader etc or utilize outside professionals such as brokers to move their inventories as quick as possible. Sometimes, as these inventories either sit or whatever reasons aren’t moving, the lender will put these items up for auction.

Today, some of the lenders in the financial market have advertised personal credit qualifications as low as 575, prior bankruptcy rules amended or ignored, and start up businesses welcome.First Time buyers, whom were locked out of this market in the past, now has an unique opportunity to earn more revenue by acquiring a Peterbilt truck for himself. A $50,000 over the road Peterbilt truck might require as little as $1400 down to commence the financial obligation. Other lenders that might have required up to 30% down in the past might accept as little as 10% to acquire one of their repos and/or off leases…..Additionally, some lenders may offer favorable monthly payment terms vs standard lending to acquire their off lease and repos vs. the buyer looking to acquire a truck at a dealership.. In conclusion, this is a buyer’s market for Peterbilt trucks. One should evaluate all the factors relating to this acquisition including gas costs, air emissions,environmental type requirements., buyout clauses acquisition costs and its related financing. Additionally, there are two distinct financing markets out there, one for the normal acquisition from the dealership and the possibility of acquiring a repo and off lease from a lender at favorable market and financing terms. As always it is advisable, if possible, to locate financing prior to truck shopping, it could save a lot of time and stress.

Easy qualifying for car and truck financing, is a necessity if you have bad credit. There are many times that your car and/or truck will break down for a major repair over the course of its lifetime. Either you don’t have any or enough money to fix the problem and/or your credit doesn’t permit you to make this major repair. These major repairs could be in the thousands of dollars and now you have a major problem. You can ask your family members and/or friends to assist you but usually that can turn into a bigger problem. Going to a bank and/or financial institution for a loan usually isn’t feasible these days unless you have stellar credit. What do you do? In the market today are car title loan programs that aren’t Fico credit driven at all. They are interested in making these loans to you based upon the following requirements:

If your car or truck is:
Less than 8 years old. Is insured, including collision and comprehensive coverage. Has a clear title (not leased and no outstanding loans on it). And you have a steady income, you will be approved for financing.

This is a car title loan program and can be used to get these major repairs done and repaid in payments affordable to you. These lenders are in United States and Canada.

For truck drivers we know that is your livelihood. Every day that it is off the road means that you don’t get paid. ., we understand that you need your truck to earn your living.

Once your loan is approved, the lender simply forward your loan documents to you for your signature. Once the documents are signed, the lender will pay for your repairs. They then break that large repair bill into smaller, more affordable monthly payments. Your repayment plan is simple and can be customized to fit your budget. It’s that easy to get your truck back on the road.

Some of the trucks  and manufacturers that this financing program is valid for is: semi trucks, over the road trucks, dump trucks, boom trucks, construction trucks, crane trucks etc. This program would apply to Peterbilt, Kenworth, Mack, International, Freightliner, Volvo, Sterling, etc .

These car title loan programs apply for cars and trucks and cover the United States and Canada. Don’t let your truck and/or car control your life, get on top of the problem and don’t lose sleep and money over the situation.

THE City Council will be conducting its own investigation into the controversial purchase of the City Government of 10 dump trucks the same day the City Legal Office assured the public of an impartial probe on the issue.

Councilor Alex Paglomutan filed a resolution seeking a formal inquiry on the dump trucks deal.

Councilors Catalino Alisbo and Celia Flor also filed separate resolutions requesting the city mayor, Bids and Awards Committee and City Legal Office to submit the entire bid documents for the council’s perusal.

Councilor Jocelle Batapa-Sigue on the other hand filed a resolution asking all resource persons in the deal to submit all pertinent documents.

Batapa-Sigue however clarified that her resolution is not only for investigation purposes, or a check and balance to the City Legal Office’s investigation, but basically in aid of legislation.

Batapa citing Councilor Greg Gasataya said the allegations of irregularities in the dump trucks deal are so serious that it is not enough to check on alleged overpricing, but to evaluate the whole bidding process including possible loopholes and avenues that could be circumvented by anyone.

“I want long term solution and safeguards so that these allegations would not be repeated again in the future,” she said.

The councilor also stressed, “the people are already tired and sick of all the reports and exposé of alleged scams and corruptions in the government that everything the government does is subjected to suspicion.”

“It’s time also for us in the city to draw more solid and long term measures against graft and corruption, big or small,” she concluded.

A TOY dump truck, that could break into small pieces when dropped, has been recalled amid fears it could pose a choking threat to young children.

South Australia’s commissioner for consumer affairs Mal Hemmerling said more than 2000 of the plastic trucks were sold nationally through The Reject Shop outlets.

Safety inspectors from South Australia’s Office of Consumer and Business Affairs detected problems with the truck during a product safety campaign targeting stores selling toys intended for children aged under three.

The truck was subjected to a number of tests and failed to meet mandatory safety standards.

“The safety standard requires that toys intended for children in this age group do not contain small parts and will not easily break into small parts if dropped,” Mr Hemmerling said.

“Children can be boisterous with their play, particularly if playing with trucks, so it is essential that these toys are soundly constructed so that they will not easily break into small parts.

“Small pieces of the toy can be hazardous for young children if ingested or inhaled.”

The truck was priced at $10 and first went on sale in October last year.

Mr Hemmerling said The Reject Shop was the sole importer and distributor of the toy and had removed all stock nationally and issued a recall.

Anybody who bought one of the trucks was urged to return it to the place of purchase for a refund.

Hitachi Mining, a part of Hitachi Construction Machinery, has introduced AC drive in rigid Dump trucks. The EH3500AC is powered by a Cummins 16-cylinder, QSK50 Tier II compliant turbo diesel, developing 1491kW at 1900rpm and driving through axle-mounted Hitachi AC traction drives.

Fully loaded, the EH3500 weighs 500 tonnes with a payload of 360+ tonnes. The truck is powered by two AC traction motors, which propels the gargantuan to a speed of over 55KPH. The motors also function as electric brakes bringing the 3.6 metre wheels to a safe stop without the use of mechanical brake pads.

AC drives start-off with a basic 6-7% higher efficiency over DC drives of comparable size, allowing faster travel speeds while reducing diesel fuel consumption.

Using the same drive concept as a diesel electric locomotive, the EH3500 AC’s 3500HP diesel engine powers an AC alternator. Constant voltage DC from this alternator is transformed by an inverter into variable frequency AC, which in turn supplies the two AC electric motors installed in the rear axle of the truck. The output frequency and voltage of the inverters are controlled to provide precise motor torque and speed.

In retard, the inverters generate electric power by slowing down the motors. Braking choppers, connected to the inverters, channel that power straight into a power resistor grid that continuously dissipates the energy until the truck reaches standstill. The smooth braking action is like driving a car, but without mechanical brake wear.

AC traction drives are the logical solution for today’s higher payload and performance requirements

• AC traction drives are better than DC drives
• Their reliability has been proven in locomotive, excavator, and industrial drives
• They meet high torque at low speed and high speed requirements
• AC traction drives are virtually maintenance free
• Higher AC drive efficiency reduces fuel/oil costs
• Special control reduces brake, engine and tyre wear

The EH3500 is suitable for open-pit mining because of its compatibility with harsh Australian environment.

The United States Air Force displayed Mack Trucks, Inc.’s innovative and fuel-saving hybrid technology at the Hybrid Truck User Forum (HTUF), September 19 to 21 in Seattle.

A Mack Granite® model Dump truck, built for the Air Force’s Advanced Power Technology Office (APTO) and currently stationed at Nellis Air Force Base in Nevada, will be at the HTUF exhibition and ride and drive. “Hybrid systems can have a major impact on reducing the more than 38 billion gallons of diesel fuel the U.S. trucking industry consumes every year,” said Paul L. Vikner, president and CEO of Mack. “Mack’s research indicates that hybrid electric systems in Heavy-Duty Trucks could save as much as 35 percent of the fuel consumed by conventionally powered vehicles. Thanks to the support of the Air Force and Congress, we’ve already met many of the challenges involved in turning the hybrid concept into a reality in heavy-duty trucks.

Mack is proud to play a leading role in making these cleaner, quieter, fuel-efficient vehicles significant contributors to the prosperity of our customers — and our country — in the future.” The Mack hybrid electric powertrain features an integrated starter, alternator and motor referred to collectively as an electric machine. The electric machine assists the Granite vehicle’s Mack® MP7 diesel engine in providing torque to the wheels and regenerates energy during braking. This energy (stored in ultracapacitors) is then used in place of diesel fuel. This technology provides the maximum fuel savings on routes with frequent braking and accelerations, particularly refuse collection and urban delivery, as well as certain construction applications.

Specifications for Mack Granite Hybrid Diesel Electric Truck Engine:

Type: Mack Model: MP7 — 365M, 11-liter turbocharged diesel, 365 horsepower at 1,500–1,900 rpm

Electric Machine:

Type: Permanent Magnet; Synchronous Motor Power: 161-horsepower peak; 94-horsepower continuous

Torque: 590 pound-feet peak; 295 pound-feet continuous

Energy Storage:

Type: Ultracapacitors, Usable Energy: 582 watts, Voltage: 300 volts to 725 volts DC

Transmission:

Type: 12-speed automated manual