Did you know that if you use your vehicle for your business you could receive a tax deduction? Using your car, truck, or SUV for business purposes ordinarily qualifies you for a tax deduction, but there are some restrictions that you should be aware of before claiming these deductions.
How to Qualify
Claiming a deduction for business use of your vehicle can offer you a significant tax break, but it’s important that you know the rules before taking this type of deduction. For starters, this deduction only applies to cars, SUVs, pickup trucks, and panel trucks that are used for business purposes. Other vehicles, such as taxi cabs or tractor-trailers, are not eligible for this deduction.
When you claim this deduction, you can be reimbursed for mileage, gas and oil, insurance, and more, as long as you can prove that these expenses are related to your business. It’s in your best interest to keep detailed records so you are prepared if the IRS ever decides to audit you.
If you want to learn more about tax deductions for business use of a vehicle, then you should contact the tax help pros at Taxation Solutions, Inc. We’re here to deliver expert tax relief service to taxpayers in Indianapolis and the nearby areas!