contestada

When one vehicle is used for more than one business purpose the __________.

a. Taxpayer must use the actual expense method for the vehicle.
b. Taxpayer must use the same method of claiming expenses for all business uses.
c. Taxpayer must allocate the expenses based on the ratio of each vehicle's miles to total miles for both vehicles.
d. Total mileage for each use would not include the mileage from the other business use.

Respuesta :

Answer:

The correct answer is letter "D": Total mileage for each use would not include the mileage from the other business use.

Explanation:

According to the Internal Revenue Service (IRS) tax filing rules, in the case one vehicle is used for multiple businesses, the vehicle operation expenses such as gas, oil, repairs, tires, insurance, registration fees, licenses, and depreciation can be subject of deduction according to the mileage used for each business separately.

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