Company vehicle?

[Guardian angel]

I am very curious to know what perceneforum.xxxe of you have a company vehicle, or any vehicle(s) registered under your massage business.  I am looking at purchasing a pickup truck soon from one of my clients, and also was recently talking to someone else about doing an LLC with my business, but then began to wonder if I should do the LLC before I buy the truck, so that I can register it with the business.  Argh!!  Is there a tax advaneforum.xxxe to registering a vehicle under the business?  Is it worth it to even try to do it that way?  I would be using it a lot for work, and some light personal use.  I will have a table in it all the time, ready to go.  I also plan to have my website and phone number on it, somewhere, so it will be advertising for me 24/7! I plan on buying the truck very soon, within the next two weeks or so, so any insight would be greatly appreciated!

 

[aaron t]

My husband  is a veterinarian and we pay his truck payment , insurance, repairs etc. out of the business (we own a clinic).  He uses a company Visa card for his gasoline expenses (it doubles as an airline mileage card, which is a nice perk).   From our tax standpoint, his vehicle counts as a depreciating asset and all the related expenses (loan, gas, repair etc) are counted as business deductions.      He could even have deduction for mileage, but its a pain for him to keep track of the odometer!I'd suggest you consult with an accountant to see whether this would be an advaneforum.xxxe for you.   We operate the clinic as a sole proprietorship.

 

[good guy]

aralia wrote:LOL    You can't take expenses AND mileage. It has to be one or the other - no double dipping. Excellent advice from mtnmassage: check with your tax professional. Advaneforum.xxxe of a company vehicle is you can deduct everything, not like using a personal vehicle where you have to keep track of which is what.

aralia,I still cannot tell if you are on these boards to help or snipe comments at people in the guise of helping.   So far, it seems the latter.  But, expenses for a vehile plus mileage according to a very reputable accountant here are acceptable - as mileage is wear and tear on the vehicle and repairs are just that.. repairs.  Are you an accountant, or do you have some other knowledge?  If so, please supply me with the correct information and resources to confirm it.Thanks in advance.  Always good to stay on top of any changes in our system.

 

[toilltoft]

According to my favorite tax book "422 Tax Deductions for Business & Self-Employed Individuals" by Bernard B. Kamoroff CPA (I've raved about it in some other thread), p. 138 of the current edition:"The IRS has a standard mileage allowance deduction for every business mile driven.  This allowance is in lieu of actual vehicle expenses such as gas, oil changes, maintenance, and the cost of the vehicle."It's OK with me that Aralia is direct and doesn't necessarily claim to be an accountant -- all the rest of us share this kind of info without our qualifications being called into question.  I've benefitted from a ton of her massage and non-massage expertise on the board - it's really up to each of us to crosscheck posted info, anyway.Not that any poster here needs my good opinion to feel OK about herself!  

 

[aronbayarea]

I wonder if you will have to have commercial plates on the truck?  I am thinking yes.24/7 advertisement is a wonderful thing.Robyn

 

[Tay K]

[quote author=Texas-gal link=board=bus;num=1092781549;start=0#3 date=09/14/04 at 18:09:22]aralia,I still cannot tell if you are on these boards to help or snipe comments at people in the guise of helping. آ  So far, it seems the latter. آ  [/quote]I don't see that Aralia was sniping at anyone.  She was direct, but she made her point clearly and concisely.[quote author=Texas-gal link=board=bus;num=1092781549;start=0#3 date=09/14/04 at 18:09:22]But, expenses for a vehile plus mileage according to a very reputable accountant here are acceptable - as mileage is wear and tear on the vehicle and repairs are just that.. repairs. آ [/quote]Every tax class/workshop I've ever taken says that mileage is taken in lieu of actual expenses.  Also, if you switch from mileage to taking actual expenses, you cannot switch back as long as you have that same vehicle.

 

[DoppolyKonson]

Points well taken, everyone. آ Thanks for your info and quotes.Obviously I have some personal issues with a number of replies she has given in the past (most recent on the Student forum - "What Are Knots?) آ :-/ and "reading into what she said" here, since I can't see her reaction in person.It gives me the ability to discuss better taxation in the future. آ It is a real possibility that I keep all encompassing info (milage, gas, repairs, etc.) info and the accountant actually picks the greater of the two types of deductions when it is all said and done.  Maybe that is where I got confused.  Thanks again. آ 

 

[evilattorney]

Company vehicle?

Are you going to use the webdecals we have seen on the boards?Robyn