rgatijnet1 wrote:
msmith1199 wrote:
Exactly Bob. In reality any of us can write off the entire cost of our motorhome and all of our toys. And you won't have a problem at all unless the IRS catches you. :) If you don't get audited you're fine. If you do, you better get your checkbook out. I love how people make these claims of what they write-off and how since they haven't been caught it must be legal. Like put a sign for your business and then all the sudden the entire motorhome is a tax write-off? Not a chance. The cost of the sign you put on the motorhome is a deduction under advertising expenses on the schedule C. Try putting a motorhome under advertising expenses and see how fast the audit comes.
I've been audited twice in 19 years. NO PROBLEM whatsoever and I do not have a sign on my RV because it is just transportation, not advertising. Some businesses DO NOT need advertising to make money. Transportation expenses can legally be deducted if you can show a business reason to be making the trip and this is easy if you have the right kind of business. It is easy to be legal if you use your common sense and just keep good records. In my case, the federal government automatically keeps a lot of my records for me, which makes it impossible for them to dispute. The IRS is something others fear, not me.
Anyone not afraid of the IRS is either Tim Geitner or does not know enough to be afraid. Example: from personal experience; you have IRS agents running around that do not know how to fill out their own paper work. Yet they operate with the full weight and authority of the Federal Govt'. The IRS can make rules, change rules or change interpretation of a rule any time it wants. The IRS Admin. can interpret a rule one way, its legal department the same way and the Auditing Dept a completely different way. Your only recourse is to appeal it to the tax court, who's judges are IRS employees.