Tom Holden, who recently launched BUS Advisors with colleague Keith Johnson, addressed the ILLBA members and guests on the Fuel Tax Rebate and Bonus Depreciation. He stated many industry members were not aware that the deduction was available. Tom has over 16 years as an operator, formerly heading up Rose Transportation.

Fuel Tax Rebate:

  • $.17/gallon of diesel fuel used in 20+ passenger vehicles is eligible as a tax deduction
  • An additional $.07.3/gallon can be deducted for transportation of any student group or members of a school system (educators)
  • $.183/gallon of gasoline fuel can also be deducted for mini-bus-type vehicles (22-24 pax)
  • Companies can go back 3 years.  Filing by March 2019, operators can capture 2015 Fuel Tax Rebates!
  • Noted that larger companies using Hudson software can electronically sort trip tickets for school-related travel

Bonus Depreciation (Section 179 of tax forms):

  • Can be used for new and used vehicles
  • Up to $2 million can be reflected for depreciation for vehicles weighing 6k lbs. or more; noted that this can cover the entire cost if within guidelines

Other BUS Advisors News:

  • Keith Johnson, regulatory consultant, is traveling to conduct training, especially on key and new safety issues;
  • BIG Wheels, an education group for operators with 10+ vehicles that hold 14 (or more) pax, is offering 3, 3-day sessions in 2019. It was founded by Art Messina of Driving Results. For more information, go to Driving Results (Groups) or call Art at 631-584-2273
  • Finally, Tom offered a 10% discount for ILLBA members for their first 6-month consultation with him; email Tom at for details