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Is that the truck which you own correct?
When we need to know how that business is organized ? is that LLC, corporation or solo proprietorship?
Another issue - if the truck is used 100% for business purposes?
And if you personally participate in that business activity?
If your business is organized as separate legal entity - you will report income from leasing as rental income income on schedule E.
You will be able to deduct qualified expenses related to that property - interest on financing , property taxes, depreciation, etc.
However if you personally participate in that business activity - means it woudl be classified as self-rental - and your net rental income will be subject to self-employment tax.
That will not be any difference
- the corporation may pay you wages
- the corporation may reimburse you fro business related expenses
- of you may have self-rental if you wish.
Total tax liability will likely be very close.
S- corporation is your employer and your employer may provide you additional benefits including car allowances - that is OK.
However if such allowances are paid under an accountable reimbursement plan - they are not included into taxable income.In your situation - seems as your employer does not have an accountable plan and because of that - car allowances are reported as wages.
If you are using your car for business purposes - you are allowed to deduct car expenses.
Generally - you have a choice to use actual car expenses OR to calculate your car expenses base on the standard mileage rate.
Let me know if you need any help with reporting.