electra1234
Junior Member
What is the name of your state? MN
In Feb 2004, I started an S-Corp. Prior to that I was a sole-proprietor for 5 years. During the time of sole-proprietor (Dec 2003), my accountant advised me to purchase a vehicle as a business deduction (SUV over 6,000 lbs). On my S-Corp taxes for 2004, I deducted 50% of the business usage of the vehicle including maintenance, gas, etc.
What I am wondering is if I need to change the loan information and title into my company's name in order to maintain this deduction? At the time of purchase, I hadn't incorporated yet, so the vehicle is in my name. Also, if I were to be audited, would I be in trouble for not listing my vehicle's title and loan info, and insurance under my company name even though I legitimately used my vehicle 50% of the time for business reasons?
In Feb 2004, I started an S-Corp. Prior to that I was a sole-proprietor for 5 years. During the time of sole-proprietor (Dec 2003), my accountant advised me to purchase a vehicle as a business deduction (SUV over 6,000 lbs). On my S-Corp taxes for 2004, I deducted 50% of the business usage of the vehicle including maintenance, gas, etc.
What I am wondering is if I need to change the loan information and title into my company's name in order to maintain this deduction? At the time of purchase, I hadn't incorporated yet, so the vehicle is in my name. Also, if I were to be audited, would I be in trouble for not listing my vehicle's title and loan info, and insurance under my company name even though I legitimately used my vehicle 50% of the time for business reasons?