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Using car for personal and business LLC
Hi,
I started an LLC and currently I am also employed. I use car for my personal use and would like to use for business as well. Any ideas to separate expenses so that I can legally use the car for personal as well as business use? Is there a template of agreement that I can use? Thank you in advance!
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#1 Tax, SDIRAs & Cost Segregation Contributor
- Tax Accountant / Enrolled Agent
- Houston, TX
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#1 Tax, SDIRAs & Cost Segregation Contributor
- Tax Accountant / Enrolled Agent
- Houston, TX
I don't know how your LLC is set up and why you even needed it. A single-owner LLC is usually ignored for tax purposes, known in technical terms as "disregarded entity." If this is your case, you don't need anything more than carefully tracking your business-related miles with an app such as MileIQ. There're tons of mileage tracking apps - google them.
Here is a short article:
https://www.nolo.com/legal-encyclopedia/how-deduct-your-local-business-driving-expenses.html
If your business setup is more complicated, then it's best to consult an accountant.