Business & farm

Reimbursement Method (accountable plan):

• If a partner uses their personal vehicle for business-related travel, they can submit a reimbursement request to the partnership.
• The partnership would then reimburse the partner for the business mileage at the correct IRS rate.
• This reimbursement is treated as an expense for the business. 

Deducting Expenses on Personal Return (he IRS states that using this method requires that the partnership allow it in the written partnership agreement otherwise no deduction is allowed on either the partnership or 1040s) .:

• Alternatively, if the partnership agreement provides for it (, a partner can deduct the expenses related to their personal vehicle directly on their personal tax return. The deduction, if allowed, is taken through the unreimbursed partner expense section in the Turbotax KK-1. nothing about the vehicles is reported on the 1065
• This method involves tracking all relevant expenses (such as fuel, maintenance, and repairs) and claiming them as deductions.
• However, this approach depends on the specific terms outlined in the partnership agreement.