Can a car bought for a self employed business be deducted as an expense?

[SherylSTaxExpert · Accepted solution]

If you have a vehicle that you purchased for business, you have options on how the deduction is treated.

1. You can fully  depreciate the vehicle (based on business usage) in the year of purchase (if your vehicle is eligible and you use the vehicle over 50% of business)

2. Keep a log of your miles of how much you drive, and take the standard mileage rate

3. Deduct expenses such as gas/repairs

The link below will provide more details on the various options you have to expense your vehicle.

https://turbotax.intuit.com/tax-tips/small-business-taxes/business-use-of-vehicles/L6hi0zzzh