Expert: WILLIAM D MCCONNAUGHY Date: 8/3/2008 Subject: can a motorcycle be a business tax write off
Question can a motorcycle be a business tax write off,if you use it as transportation to go measure up a job
Answer Yes, to the extent that any tangible piece of property is put into use for the production of income it would qualify as a business tax write off.
However, if this asset is also being used for personal purposes then an allocation would have to be made on your tax return filings to report only that portion of the motorcycle's cost basis, and operating expenses, as a business write off that is in fact attributable to the production of income. Example...total mileage for the year on the motorcycle is 5,000 miles. Business use was 1,000 miles. Then 20 (1,000/5,000) of the motorcycle's cost basis is eligible for depreciation, and 20 of the operating expenses are eligible for a deduction against income.
Whenever a business is being reported on a tax return, it is best to have a licensed tax professional handle the return preparation for you, as there are many complicated rules that have to be adhered to in order to get your return done correctly. Only years of experience and education in these matters qualify a person to do this work properly.
