: You track the actual cost of operating the car. This includes gas, oil, repairs, tires, insurance, and registration fees. 🛠️ Key Rules and Limitations
: You must maintain adequate records or evidence to support your statement of expenses. : You track the actual cost of operating the car
You can generally choose between two primary methods to calculate your deductible car expenses: : You track the actual cost of operating the car
: You multiply the business miles driven by a set IRS rate. This requires you to choose this method in the first year the car is available for business use. : You track the actual cost of operating the car