any accounts here? need some info asap.

[smokinreefer]

just need some info on the best way to write off a vehicle for self employed work.

and how much i can write off etc.

thanks.

[KrazyKuch]

I believe you hold onto all your paper work and then submit it at tax time!!!!

[Static]

Yup save all your receipts for fuel, repairs, and parts, and at tax time there is a special section for vehicle and fuel costs when you fill out the forms for a self employed person.

Things work on percentages, you will have to work out what percent of your mileage is for work, and for personal use. You can also claim a percent of the total vehicle cost as part of your yearly expenses.

[Cap'n]

Hanging on to the receipts is standard, just as Kuch stated. There is, however, a lot of variance depending on how you purchased the vehicle. You get the most back if you lease, but that makes sense, because you're paying more to begin with. If you bought you can also claim a portion of the purchase cost through depreciation (ie: the amount you can claim drops every year becuase the vehicle is worth less every year).

I would recommend getting a small business booklet from the tax office, I'm sure it would be more help than me. I keep trying but my vehicle expenses never add up to enough to claim, not that I'm complaining.

[EmilyB]

If this is a sole proprietorship, vs corporation, keep the vehicle out of the company. You can claim the expenses mentioned above, but you better have a log book of mileage in event of audit.

[smokinreefer]

thanks for the info.