Ok, so I'm thinking about buying a trailer to help haul stuff (mowers, appliances, etc). It would be used for primarily for real estate, but I'm guessing I would use it personally sometimes as well. From a tax perspective, how exactly does this work? I assume that if it was 100% real estate related I could write it off, but being 80% to 90% I wasn't sure how that would work. Thanks!
If the trailer is used for personal purposes as well as business, then yes, a percentage based deduction would be taken.
If 90% is used for business, then you would write off 90% of it.
The other 10% is not deductible.
Updated over 2 years ago
By deducting, I meant depreciating.
You might have to capitalize and depreciate the trailer rather than just deducting it. Depends on how much it costs and other factors. Keep that in mind.