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1. Actual Expenses:
18b - 0 since this portion is NOT DEDUCTIBLE.
2. Total Car and Truck Expenses:
26b - $15 - DEDUCTIBLE SINCE THIS IS THE RTA
TAX?
This correct?
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I don't know PS, so the line numbers do not translate for me. The total actual vehicle expense is $85. It has two components $70 is some sort of fee and $15 is some sort of tax. Assuming 50% business usage I should see 50% of ($70 plus any other expense like gas, oil, service to show up as vehicle expense) AND 50% of $15 to show up on Schedule C as Tax and the other 50% to show up on Schedule A as personal property tax.
Short form - Even what would not be deductible on Schedule A, is still a deductible for the business portion of usage on Schedule C. What is deductible on Schedule A would be split proportionally on Schedules A and C according to business usage.
Answers are easy. Questions are hard!
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If you have nondeductible Actual expense, but you are trying to record Mileage Allowance, do you know the computation for Allowance is to include ownership and operation, which would already include registration costs? You cannot double-dip.
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Using Car and Truck Expenses W/S:
1. Actual Expenses:
18b - $70
2. Total Car and Truck Expenses:
26b - $15
Or are you saying something different?
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You seem to be focusing on $85. Not the Vehicle's use and operation for Business use, for purposes of the Sched C. You haven't answered that you are taking Mileage Allowance. Is the only amount you want to take as expense the $85? What about the costs for operation that involved business use? There is an incomplete picture being painted.
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For 2019:
1st year in service.
T/P annual mileage: 200
Business Miles: 100
Actual Expenses - FOR THIS EXAMPLE ONLY - $85
Business %: 50
STD Mileage rate: .58/Busn. Mile
Actual Vs. Std?
1. Actual Deductible - (50% of $70) = $35
2. STD - (100 X .58 = $58 & 50% of $15) - $66
In this LIMITED EXAMPLE ONLY, T/P would elect STD.
Does this provide a complete picture for you?
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Here is what I described:
STD Mileage rate: .58/Busn. Mile <== covers all operating costs, including registration
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See one reference from Turbotax below:
As you correctly identify in your question, in the State of Washington, the only PORTION of your vehicle registration charge that is tax deductible (on Form 1040 Schedule A as an itemized deduction) -
NOTE THEY ARE REFERRING TO A SCH A DEDUCTION, RATHER THAN SCH C, SAME PRINCIPLE THOUGH.
is the amount shown on your registration statement for the RTA (Regional Transit Authority) tax. Only residents of King, Pierce, and Snohomish counties, and who live within the Sound Transit District, will have an RTA tax. If you do not pay RTA taxes, then you DO NOT have a tax deductible portion of vehicle registration fees for Washington vehicles.