On October 1, 2005, I bought a business which included a used delivery truck being used exclusively for my business. The used delivery truck was estimated to be $6K. I am trying to finish up 2005 tax return (Schedule c) which was extended. Here is my question on deducting the use of the truck.
I can take section 179 in 2005 and expense entire 6K, right? In that case, I guess I can not use mileage deductions any more beginning 2006.
Or I can use mileage deduction for 2005 and continue to use the mileage method.
But I found some where that if I depreciate my truck the first year using straight line method, I can use mileage method for 2005 and there after as well. What do you think is the best solution?
For your information, my mileage per month is about 1,000 miles. Thank you so much.
2006-09-29
04:49:47
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3 answers
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asked by
WiseJ
2
in
United States