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emc011075, Tax adviser
Category: Finance
Satisfied Customers: 3166
Experience:  IRS licensed Enrolled Agent and tax instructor
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How should I report gas and tire and maintenance bills

Customer Question

How should I report gas and tire and maintenance bills for a vehicle? If we take miles, do we have to show the expense amount for actual repairs, etc... ? If so, where should this be listed?
Submitted: 2 years ago.
Category: Finance
Expert:  emc011075 replied 2 years ago.

Hi. My name is ***** ***** I will be happy to help you.

When deducting vehicle expenses, you have two options. You can deduct standard mileage (about 50c per mile) or you can deduct actual expenses. If you use the vehicle for both business and personal, you will have to prorate your deduction. Some tax preparation programs will ask you for both, mileage and actual expenses in order to calculate the best deduction. But on the final return, it will only show/deduct mileage or actual expenses (tires, maintenance, gas). NOT BOTH.

Where it should be listed will depend on type of the business activity and type of return you are filing. Sole proprietor/single member LLC deduct the mileage on Schedule C, landlords on Schedule E, partnerships on 1065 or Schedule E and corporations on 1120 or 1120S.

Let me know if you have any questions.

Expert:  emc011075 replied 2 years ago.

I see you read my respond. Do you have any questions? Is there anything else I can help you with today?

And if this answered your question, please take a moment to rate my response so that I may receive credit for assisting you today. However, if you need clarification, or want to discuss this issue further, let me know. Thank you.