When you use a vehicle for business, be it all of the time or even half of the time, you can deduct certain expenses from your business taxes. Things like fuel, maintenance costs, repairs, and even parking fees can all be deducted as long as they were business related. However, if the vehicle isn’t used for business 100-percent of the time, you can only deduct whatever percentage is used for business from your expenses. This is pretty well understood, but a lot of people don’t understand why good old Uncle Sam will let you deduct your lease payments, but not the payments on a car loan, even if both are used for business.
Well, I’m here to fill you in on that, and hopefully, you’ll walk away with a firm understanding of what really makes a car lease different from a car loan in the eyes of the IRS. But, before we get into that, l’ll take a quick minute to explain just what you can deduct as business expenses on a leased car. So, let’s get to it, before that annual day of stress passes, and you get a demerit for filing late.
from Top Speed http://ift.tt/2ptoqa0
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