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CPA'S
- Thread starter truckwife
- Start date
Morning Truckwife,
There are a few questions that I have posted quite a number of time before and are in the archives. but I will post them for you.
1. What is the depreciation in years on the vehicle and can I use the standard mileage rate?.
A.) Cargo Van -5 years and you can use the standard mileage rate
B.) Straight Truck & Tractors- 3 years and you cannot use the standard mileage rate, you must use actual cost, including the depreciation. The interest part is deductiable only of the payment but the actual principal payment part is not. due to the depreication.
C.) The IRS states no,for standard mileage rate, but there is a CCM Memo that is available if audited. unless it has been over turned since. Or instead of using the IRS Business Code 484120, Use Business code 492000 for Courier, Then it is allowed.
2. What Per Diem allowance do I receive for being on the road?.
A.} if he says anyting else but $52.00 per Day in the US and $58.00 per day for Canada, at 75% which is the actual deduction.
He is not giving you the correct deduction.
3. Can I deduct my cell phone?, Yes, but only a percentage due to personal use. Inother words if you use the phone to call home its not deductiable at all because it is consider personal, I know its rediculous but that is the way the IRS definies it.
4. What's a Lumper?
A. Person that loads or unloads your truck
5. Can I deduct my entertaiment, Dish or Direct TV, VCR, DVD, Audio Books, etc. Yes! but restrictions apply.
There are a few more but use the listing that I attached to the e-mail that you sent me a while ago. if you do not have one, please e-mail me directly and I will attach one for you.
Frank
There are a few questions that I have posted quite a number of time before and are in the archives. but I will post them for you.
1. What is the depreciation in years on the vehicle and can I use the standard mileage rate?.
A.) Cargo Van -5 years and you can use the standard mileage rate
B.) Straight Truck & Tractors- 3 years and you cannot use the standard mileage rate, you must use actual cost, including the depreciation. The interest part is deductiable only of the payment but the actual principal payment part is not. due to the depreication.
C.) The IRS states no,for standard mileage rate, but there is a CCM Memo that is available if audited. unless it has been over turned since. Or instead of using the IRS Business Code 484120, Use Business code 492000 for Courier, Then it is allowed.
2. What Per Diem allowance do I receive for being on the road?.
A.} if he says anyting else but $52.00 per Day in the US and $58.00 per day for Canada, at 75% which is the actual deduction.
He is not giving you the correct deduction.
3. Can I deduct my cell phone?, Yes, but only a percentage due to personal use. Inother words if you use the phone to call home its not deductiable at all because it is consider personal, I know its rediculous but that is the way the IRS definies it.
4. What's a Lumper?
A. Person that loads or unloads your truck
5. Can I deduct my entertaiment, Dish or Direct TV, VCR, DVD, Audio Books, etc. Yes! but restrictions apply.
There are a few more but use the listing that I attached to the e-mail that you sent me a while ago. if you do not have one, please e-mail me directly and I will attach one for you.
Frank
in reply to the earlier message in Oct. If I did not answer that question. The lease payments are deductiable but it cannot be depreicated.
Since you do not own the truck, and you will have to release it when the lease is up this is called an operating lease. and you would have to pay the Fair Market Value that they require to purchase it. At that time the total is depreicated as it is a new purchase.
I think that you already know that I can help you in your taxes, you do no need a CPA, I have 30 years experience in Taxation, and Since I have been in the same situation by being a Company Driver and Owner/Operater my self, I think I have the qualifications that you need. The only thing I cannot do due to the fact that I am not a CPA, OR EA. I cannot represent you without your presance at a IRS Tax Audit. But I do have representation available to you with my associates.
I am also an Accredited Tax Preparer through the Accredition Council of Accountancy and Taxation
Frank
Member of OOIDA # 640573
Since you do not own the truck, and you will have to release it when the lease is up this is called an operating lease. and you would have to pay the Fair Market Value that they require to purchase it. At that time the total is depreicated as it is a new purchase.
I think that you already know that I can help you in your taxes, you do no need a CPA, I have 30 years experience in Taxation, and Since I have been in the same situation by being a Company Driver and Owner/Operater my self, I think I have the qualifications that you need. The only thing I cannot do due to the fact that I am not a CPA, OR EA. I cannot represent you without your presance at a IRS Tax Audit. But I do have representation available to you with my associates.
I am also an Accredited Tax Preparer through the Accredition Council of Accountancy and Taxation
Frank
Member of OOIDA # 640573