What Is the Benefit of Having a Commercial License Plate?

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A commercial license plate is used to distinguish vehicles used for commercial purposes from personal use vehicles. If your vehicle is classified as a commercial vehicle, you will need to register the vehicle and obtain the proper plates. There are some advantages associated with having a commercial license plate.

Taxes

If your vehicle is registered as a commercial vehicle, you can deduct the registration fee on your tax return. In order for you to deduct monthly payments on a leased vehicle, it must be registered as a commercial use vehicle.

Parking

Commercial vehicles have parking advantages in many places that prohibit regular vehicle parking. With a commercial plate, you can park in designated commercial vehicle parking spot. This makes loading, unloading or picking-up more convenient.

 

Insurance

A driver with a commercial license plate can save as much as 10 percent on their insurance. To receive the discount, your operating vehicle must be registered as a commercial vehicle.

 

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About the Author

Jeannine Mancini, a Florida native, has been writing business and personal finance articles since 2003. Her articles have been published in the Florida Today and Orlando Sentinel. She earned a Bachelor of Science in Interdisciplinary Studies from the University of Central Florida.