Mattyd wrote:
I know a person who has a race car and deducts it as advertising for his business.. therefore he then deducts the truck and TC needed to pull the race car.
Another suggestion is since it is a licensing headache to title and run a pick up as a corporate vehicle-commercial plates etc to title it personally and deduct it corporately. Let the corp buy the TC since there is no title.
Any other ideas that have worked? Thinking of calling it a mobile office?
As a CPA, good luck with that. We always use this quote. Pigs get fat and hogs get slaughtered.
And just because a friend calls it a deduction does not mean it would survive an IRS audit.
Basically you'd need to prove a legit business use and document it with real reasons you can sit down and tell an IRS auditor with a straight face. Such as your a construction manager for Walgreens and travel the US building stores for them. And you camp onsite the entire time. Lots of rules and court cases on this stuff.
And just because the corp cuts the check for the TC does not mean its truly deductible for business purposes and audit proof. We do lots of tax returns for doctors and they pay for 100K cars out of the corp but for tax purposes they get a huge hit called fringe benefit adjustment to their W-2 and the Corporate deduction is limited. But their corp ''writes the check'' they tell their friends.
