Standard Mileage Rate?

[Yardley CPA]

Schedule C client. I just want to verify something. If you take the standard mileage rate for a business vehicle, you can not depreciate the vehicle as well, correct? I believe the standard mileage rate includes a depreciation factor...no?

Thanks!

[Maribeth]

Schedule C client. I just want to verify something. If you take the standard mileage rate for a business vehicle, you can not depreciate the vehicle as well, correct? I believe the standard mileage rate includes a depreciation factor...no?

Thanks!

That is correct. The standard mileage rate includes a depreciation factor. You can take a % of the interest and taxes along with the standard mileage rate.

Maribeth

[indyscott]

(plus parking & tolls..) But, in order to use Standard Mileage rate, you have to use it in the first year the vehicle is placed in service. Can't start out with higher actual, and then switch to standard when actual drops.

[joelgilb]

(plus parking & tolls..) But, in order to use Standard Mileage rate, you have to use it in the first year the vehicle is placed in service. Can't start out with higher actual, and then switch to standard when actual drops.

Such a shame, All these types of questions were essentially answered on the old ATX board. THx again CCH!

Joel

[chadw]

Such a shame, All these types of questions were essentially answered on the old ATX board. THx again CCH!

Joel

Isn't that the truth Joel. I loved being able to do a search on a topic and being pretty much to find an answer to something. This board is getting there and hopefully will get there at some point.

[SunTaxMan]

That is correct. The standard mileage rate includes a depreciation factor. You can take a % of the interest and taxes along with the standard mileage rate.

Maribeth

Two thoughts:

-- 1 I have never heard of adding any interest and taxes to standard mileage rate. Cite? How much?

-- 2 If you are using ATX, and use standard mileage allowance, you will see a "depreciation detail" that uses the depreciation factor rather than normal depreciation rates. (Basis is adjusted and tracked)

[txyank]

Two thoughts:

-- 1 I have never heard of adding any interest and taxes to standard mileage rate. Cite? How much?

The interest % is calculated from the business % of usage.

Just enter total interest on Asset Entry and the correct amount is entered by ATX program.

[SunTaxMan]

Quote........

"The interest % is calculated from the business % of usage.

Just enter total interest on Asset Entry and the correct amount is entered by ATX program."

Life is indeed a learning experience!

My appreciation to the "teachers" on board this board!

And to think, someone designed to call me an "advanced" member! The older I get, the more I realize I don't know! Thanks again.

[RitaB]

Isn't that the truth Joel. I loved being able to do a search on a topic and being pretty much to find an answer to something. This board is getting there and hopefully will get there at some point.

I have had a lot of trouble when I do a search on this board. I usually don't get anything or way too much. I'm sure it's something I'm doing incorrectly, and hopefully I'll figure it out. Yes, I agree, the amount of info on the old board was awesome; I used it all the time. I have lamented a lot of times over losing that resource! I use these boards, but it's not the same... I hope it's ok to list these on here. I do love this forum, and we'll get there!

http://www.quickfinder.com/message_board

http://www.thetaxbook.com/forums/forumdisplay.php?f=2

http://www.taxalmanac.org/index.php/Discus...-_Tax_Questions