Many self-employed individuals and small business owners rely on their vehicles as part of their daily work. If you’re driving an Acura SUV as part of your business or considering buying one, you might wonder whether you can claim it on your taxes as a business expense.
The answer is: yes, you can! Let’s go through everything you need to know about claiming your Acura SUV as an expense on your taxes.
Deduction Requirements for Vehicles
When determining how much you can deduct on your taxes for your Acura SUV, you first need to determine how often you’re using your vehicle for business since any amount of personal use offsets your potential deductions. You must also decide whether to deduct by Actual Expenses or Standard Mileage.
The Actual Expenses deduction covers regular expenses incurred on a vehicle during business use, including:
- Gas / oil
- Tires
- Maintenance / repairs
- Licenses
- Insurance
- Rental / lease payments
The Standard Mileage allowance lets you deduct a percentage of your mileage, determined by rates set yearly by the IRS. For the first half of 2022, the rate is 58.5 cents per mile; for the second half, the rate is 62.5 cents per mile.
Claiming Your Acura SUV as a Business Expense
Whether you’re self-employed and own an Acura SUV or your business owns it, you can claim it as a deduction. Depending on your usage, deducting by mileage might be more beneficial. Be sure to keep records of all your expenses and mileage that occur while you use your vehicle for business.
Are you in the market for a new or certified pre-owned Acura SUV in the Sherman Oaks area? Acura of Sherman Oaks has you covered! Visit our Acura dealership near Van Nuys today or call to see what’s in stock!
