My dh is a Self employed painter and decorator and i want to know what he can claim on his van, what does he put in his books, is it mileage and deseil or repairs and insurance or evey thing? i hope some one can help as the IR site ain't that helpful
2006-10-05 01:47:17 · 7 answers · asked by Sassylady 2 in Business & Finance ➔ Small Business
Keep a detailed record of ALL van-related expenses and depreciation (based on published figures) and mileage covered for business and non-business use.. Total it all up for the year.
If business miles = (say) 60% of total mileage then claim 60% of the total outlay.
(Alternatively, phone your tax office. I did 2 days ago. A real person answered almost immediately, called up my details and answered every query I had !)
2006-10-05 02:06:00 · answer #1 · answered by DriverRob 4 · 0⤊ 0⤋
If you request a Self Employment form from the IRS, it will state exactly how much he can claim. I know it is a certain percent, like 10% of his annual income, can be claimed as an expense.
Anything that is work related:
Clothing (including shoes)
Meals
Supplies
Car expenses (mileage, repairs, not sure about insurance, though)
Business office space in the home (they are specific...has to be a certain percentage of the actual home;s square footage)
These can all be claimed as expenses. Your best bet is to save ANY and every receipt for at LEAST 5 years (because fo audits). The next time the 1040 workbook comes in, check out the Self-Employment form. You are also able to only pay half of your taxes with this form, if you qualify.
Best of luck, and you can always check the IRS website for more details!
2006-10-05 01:59:50 · answer #2 · answered by rouschkateer 5 · 2⤊ 0⤋
You can claim everything that relates to his business.
That means all expenses to maintain his vehicle such as oil, petrol, repairs and even insurance, road tax etc.
He can also claim his van as a business asset and claim capital allowances.
Anything he can claim on his business will reduce the profit he earns at the end of the year and therefore reduce the amount of tax he has to pay.
2006-10-05 01:53:48 · answer #3 · answered by joe 3 · 2⤊ 0⤋
Tell him to get a van on HP cause its all tax deductable.. Fuel, car, Tax, new tyres (anything spent to get him to work).. he can even claim for his lunch..
2006-10-05 01:51:21 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Everything that he uses in respect of his business is tax-deductable. Tell him to ask around on the sites where he is working.
2006-10-05 01:49:16 · answer #5 · answered by Anonymous · 1⤊ 1⤋
Milage- I believe its .32 cents a mile. and just for the record its EXPENSES!
2006-10-05 01:52:41 · answer #6 · answered by Click 2 · 0⤊ 3⤋
im sure its just mileage
2006-10-05 01:48:42 · answer #7 · answered by Happyworms 4 · 0⤊ 2⤋