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COMMON CAR RELATED TAX DEDUCTIONS

Common Car Related Tax Deductions

You may be thinking about preparing your taxes as the April 15 deadline nears. There are some common car-related tax deductions available. Read on to learn more.

If you use your car exclusively in your business, you can deduct car expenses, according to the Turbo Tax website. If you use your car for both business and personal purposes, you must divide your expenses based on actual mileage. Car deductions are for a car, van, pickup or panel truck used for business according to the IRS website.
It is important to note that costs related to travel between a taxpayer's home and regular place of work are commuting expenses and are not deductible.

If you drive from your usual work site to another job-related destination -- a sales meeting, to get office supplies, or to the airport -- those miles may be deducted. For example: if you have been temporarily reassigned to another work location that is farther from home, you can deduct the extra distance. However, If your employer reimburses you for mileage, you cannot deduct these expenses on your taxes.

If you use your car exclusively for work then you can deduct 100% of your expenses. This includes gas, registration fees, maintenance, insurance, parking fees and more. Be sure to keep your receipts and keep track of your car expenses.

Also, if you're in a car accident that isn't your fault, and the other driver's insurance doesn't fully reimburse you for the damage to or loss of your car, you may get a deduction for that unreimbursed amount as a casualty loss. This also applies if the car is repaired but is no longer worth as much as it had been because of its accident history.


For updated information, refer to IRS Publication 463, Travel, Entertainment, Gift, and Car Expenses. For a list of current-year and prior-year mileage rates see "Standard Mileage Rates." There's a separate table for those who lease their vehicles. If you are self-employed, you may either deduct your exact expenses or use the optional standard mileage rate to calculate deductions.

We recommend consulting with a tax professional to learn more.

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4 ESSENTIAL TIPS FOR HOLIDAY VEHICLE PREP

4 ESSENTIAL TIPS FOR HOLIDAY VEHICLE PREP

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For some people out there, car maintenance or service is nothing more than filling up their fuel tank. If checking your vehicle before every drive sounds a waste of time and money, it is something you cannot overlook. Though it is not one of your main priorities, regular vehicle service can help eliminate higher expenditures in the long run. Aside from that, it can ensure an increase driving safety, functional performance, excellent fuel economy, extended lifespan, and much more. But delaying car service lessens your chance to experience countless benefits which will lead to hassles. Due to delayed car service, here are the following risks you cannot afford to encounter. • Oil Sludge Build up In the Engine Just like a gel, any built up oil sludge adheres to many parts of your engine. It seems a simple problem but it definitely inhibits the smooth or normal flow of oil over the engine of your car. Once it remains unresolved, it will pollute the engine that can cost beyond your imagination. This is why calling a car service provider on a regular basis is very imperative. It is the perfect solution to protect your investment. • Inadequate Protection and Safety Have you ever experienced car mechanical failure on the road? Whatever the case maybe, you might get injured and did not know what to do. But you are still lucky because this problem might put your life at stake. To have the peace of mind, it is always best to hire a qualified company ahead of time. Giving them a try can keep the braking, steering, or suspension in an ideal condition. Frequent car maintenance really plays a pivotal role in locating or addressing wear and other potential issues. Despite the expenses you might handle, your protection and safety are the most important things money could not compensate. Thus, let a well-skilled provider deal with all your needs for your convenience and comfort. • Unnecessary Wear and Tear The failure to count on a car repair or maintenance company can result in excessive or unnecessary wear and tear. Although this might not sound a big problem, taking action as soon as possible is very indispensable. Most of the time, wear and tear could reduce the quality and performance of your vehicle. If you do not want your money and effort is futile, give the nearest professional a call. • Vehicle Damage Do you know that driving an inefficient car can lead to an expensive damage? Well, it's certainly true. If you always take a ride using a dysfunctional vehicle, it would result in severe issues. So, it is advisable to set an appointment with a service provider. This would not only help avoid problems like that but also give you a stress-free journey. When looking for a service provider, it is perfect to take advantage of the internet. With just a few clicks, you will find the one that can exceed your expectation. But it is not that easy. Fortunately, we're here to come to your rescue. Give us a call and witness our commitment to serve you!