DaveF1006
Expert Alumni

Business & farm

No, you will wait until the vehicle is put into service before you claim expenses. After your vehicle is placed into service, you can claim actual expenses, which can include car parts or mileage. Mileage usually gives the best deduction but you can work it out both ways to see which will give you the best deduction.

 

Caution, if you use actual expenses in your first year, you cannot change to mileage in the second year. However, if you claim mileage in he first year, you are free to claim whatever method you choose in subsequent years.

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