I bought a new motorcycle last year , can i clam it?

kingsnakebites — Sat, 01 Jun 2019 04:09:54 GMT

Your answer will depend on the intended purpose of the mo...

GeoffreyG — Sat, 01 Jun 2019 04:09:55 GMT

Your answer will depend on the intended purpose of the motorcycle (business or personal).

If you are using the motorcycle for business (income generating) purposes, such as a self-employment activity like being a delivery courier, or if you are renting motor bikes to tourists and this is part of your inventory, for example, then you may be entitled to a tax deduction (called a Section 179 deduction) for the vehicle purchase (there are lots of rules and "what ifs" that go along with this). Ongoing expenses, such as costs of operation can also be tax-deductible as ordinary business expenses.

If you are using the motorcycle for personal transportation or recreation, then your answer changes, because there is no federal tax deduction specific to motorcycles.

However if you live in a state where you paid sales tax on your new motorcycle, and if you also itemize your tax deductions (on Form 1040, Schedule A) rather than taking the standard deduction, then the sales tax cost of the bike can be separately added to the rest of your sales taxes paid this year, in order to calculate your allowable sales tax deduction. So that could be a possible tax benefit.

You would find this section, in TurboTax, among the Deductions & Credits portion of the interview. Please see the attached screen-capture image for an illustration. You can also type the words "sales tax car" into the Find / Search box on your TurboTax screen, and then click the Jump To link that should appear beneath -- that will take you to the appropriate TurboTax page. Please see the screen-capture image attached to the bottom of this answer for a visual reference.

Finally, please also bear in mind that this answer addresses federal tax benefits only, as certain states (like California) or even some local taxing jurisdictions, may also offer tax benefits or breaks on their own (including, perhaps reduced registration or licensing fees) for purchasing and driving certain low-emissions vehicles, like motorcycles.

Thanks for asking your question, and please ride safely.

Re: I bought a new motorcycle last year , can i clam it?

Kolu — Sun, 09 May 2021 05:18:58 GMT

I bought a ebike to mock up and prototype parts that I sell on eBay can a deduct the cost of the ebike under business expenses for my business?

Re: I bought a new motorcycle last year , can i clam it?

AnnetteB6 — Mon, 10 May 2021 12:43:37 GMT

Yes, since it was used for your business, you can deduct the cost of the ebike as a business expense.

@Kolu

topic I bought a new motorcycle last year , can i clam it? in Deductions & credits

I bought a new motorcycle last year , can i clam it?

Your answer will depend on the intended purpose of the mo...

Re: I bought a new motorcycle last year , can i clam it?

Re: I bought a new motorcycle last year , can i clam it?