care-care 02:22 PM 03-04-2011
Tom I am almost done with my tax entering into mmk. and I have a question about vechicles. I have a car I use to go to the store and deposit my daycare check pay my car payment ect. I have a loan so I should enter the interest? Also the insurance? and should it be depreciated? I am going to sell the car this year and buy a differnt one would this end up a problem ?
Michael 02:33 PM 03-04-2011
TomCopeland 07:01 PM 03-04-2011
Use the standard mileage rate for your car expenses ($.50 per mile for 2010). Count the trips to the bank and any other trip in which the primary purpose was business. Also, count the business portion of your car loan interest. You can't claim depreciation when you use the standard mileage rate. Because you are going to sell it soon, it's best to use the standard mileage rate anyway.
care-care 07:08 PM 03-04-2011
Thank you thats what I thought but there is so many choices in mmk to confuse us! You are the best!