how do i write off my car for tax purposes?

Answer 1

Use it for a business. Otherwise if you're just using it for driving back and forth to work (i.e. commuting), you can't. The only other way would be to donate it to a non-profit organization, but the value of the donation would be how much they sold the car for (which they are supposed to give you a letter indicating the amount).

Answer 2

Unless you use your car for income producing purposes, you can not claim motor vehicle expenses in your tax return.

However, if you do use your car for income producing purposes, there are four ways you can claim your
1. cents per kilometre for under 5000 business kms
2. 12% of original cost, when you've travelled more then 5000 business kms
3. 1/3 expenses method when you've travelled more then 5000 business kms
4. log book method.

Each method required different substantion or proof. For more information go to:

http://www.ato.gov.au/individuals/content.asp?doc=/content/16377.htm&page=3&H3=&pc=001/002/013/008/004&mnu=45&mfp=001&st=&cy=1

As another tip, when claiming depreciation (as in the 1/3 and log book method), this may trigger an capital gain even when you go to sell the car. Also if your car is salary sacrificed, you may not be able to claim another deduction for it. You should talk to a tax professional for further advice

Answer 3

You can only write off car expenses if you use it for business. This does not include driving from your home to work and back - that is called commuting expense, and is not deductible.

If you use your car for business, then you need to keep track of all your miles, which ones are personal miles, which are commuting miles, and which are business miles - you would deduct the percent of your expenses that your business miles are of your total miles.

There are a lot more "it depends on"'s, such as whether you are an employee or own your own business, and whether you deduct actual expenses or an allowable amount per mile.

If it's your personal car and you aren't using it for business, then you can't deduct your car expenses.

Answer 4

You only can write off your car if you use it for business purposes. It would depend on how you are being paid for those businesses if you are able to take car expenses.

Answer 5

Unless you are using it for business purposes, you don't. Provide some details and I'll explain what you might be able to deduct and how to claim it.

Answer 6

you will in all probability be extra suited off taking the quickly mileage allowance write-off of 40 8.5 cents in line with mile. you ought to, repeat you unquestionably ought to, save a log of the mileage and the place you went working your small employer. IRS won't settle for estimates for this.

Answer 7

Donate the car to an organization that takes them and get written proof for your tax accountant.

Answer 8

Own your own business and use the vehicle for business purposes only.

Answer 9

fill out the addendums (or whatever they are called) and write the mileage in that you have used. Or if you are donating the car, include that in donations.