Accepted Answer

You will be happy to know that since you are 100% stockholder, you can run your business on a Schedule C. If you did this as a sole Propietor, then it is the same thing. You can only run a Schedule C when you own all the shares of the corporation.

This is found on the 2nd page of the Schedule C. You can either run mileage or actual expenses. I would recommend running it both ways and choose the method that gives you the higher results. Do remember if you take mileage on the vehicle you are using, and you use the same vehicle next year, you will be required to take the mileage again.

Link to schedule C http://www.irs.gov/pub/irs-pdf/f1040sc.pdf

Vehicle info starts on Part 4 Line 43. If you take actual expenses instead of mileage you will be able to deprecaite the vehicle. Most of the times I find that Mileage is best. Important, Mileage must be written on some form of log in case the IRS questions you. More info can be found in this publication.
http://www.irs.gov/pub/irs-pdf/p463.pdf

Expert:	Cassandra
Pos. Feedback:	100.0 %
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Answered:	4/15/2008

Tax Preparer

8yrs experience in taxation for individuals. CTEC Registered and an Authorized E-filer with the IRS