Expert explains why rich people always buy Mercedes G-Wagons and it's not about looks

If you’ve ever wondered why Mercedes G-Wagons have become the unofficial mascot of the ultra-rich, meet the real MVP: Section 179 of the IRS tax code.

Yep, that same squared-off luxury SUV that screams ‘success’ might also be quietly whispering, ‘tax deduction.’

Turns out, for many business owners, buying a G-Wagon is actually a financial strategy.

And thanks to one viral creator, the internet just got a crash course in how the rich roll (and write off).

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Mercedes G-Wagons are exactly the right weight

In a viral Instagram reel with over 1.4 million views, content creator Fairies Quadri (@faares.q) explained the logic behind the G-Wagon obsession.

Playing both the curious shopper and a dealership rep, he asked, “Why do rich people all drive G-Wagons?”

His answer: “It’s not to look rich; it’s because of a special IRS tax code called Section 179, which allows people to write off the entire purchase price of the vehicle if it’s used for business.”

So how does it work?

Under Section 179, business owners can deduct a portion of the cost of qualifying vehicles, as long as they’re used for work and weigh over 6,000 pounds.

There are a few other requirements buyers have to meet, including creating records of usage, in order to take advantage of this option.

The G-Wagon clocks in right around that magic weight number, which is likely why the boxy Mercedes-Benz vehicle reigns supreme among wealthy buyers.

The tax deduction was previously reduced

Quadri even points out that most stylish cars don’t make the cut.

“Why not a BMW?” he asks his dealership alter ego.

“Because it’s not heavy enough,” comes the reply.

Other vehicles that pass the weight test include the Chevy Tahoe, GMC Yukon, Cadillac Escalade, Tesla Model X, and Ford Expedition.

While these are all expensive cars in their own right, none are quite as iconic as a Mercedes G-Wagon.

Some commenters did point out that the full 100 percent deduction began phasing out at the end of 2022.

However, President Donald Trump’s ‘One Big Beautiful Bill Act ‘(OBBBA) is set to bring it back in its entirety, if the vehicle is acquired on or before January 19, 2025.

So the next time you see Mercedes G-Wagons sliding by, know that they aren’t just fashion statements.

Instead, they may represent a savvy tax strategy on wheels.

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