Self employed

Hello @Culcat 

Thank you so much for joining us today, we are so happy you are here!

I'm going to answer as if you are a sole proprietor, but also provide a link if otherwise.  

You can use the either the standard mileage or actual expenses method for a leased vehicle. However, if you use the standard mileage rate, you cannot switch to the actual expense method in a later year.

• • If you use the standard mileage rate for a leased vehicle, the lease payment amount is not deductible.
  • If you use the actual expenses method, leased vehicles are not depreciated. Instead, the business portion of the lease payment is deducted.
    
    

Here is the article in which this information was obtained:  TurboTax Business use of Vehicles.
Another link that may provide some more insight is the TurboTax Maximizing Tax Deductions for Business Use of Your Car. 

One thing to be mindful of is the mileage restrictions with the leasing company.  It may not affect your taxes if you go over your mileage, but something to be mindful of while considering leasing.

I hope this answers all of your questions and you have a wonderful rest of your day!

Cheers!

Holly W