Entering expenses for a vehicle not being depreciated in ProConnect Tax

For more Schedule C resources, check out our Tax topics page for Schedule C where you'll find answers to the most commonly asked questions.

To enter vehicle information to calculate the actual expense or standard mileage rate to be reported on a Schedule C, E, F, or Form 2106, follow the steps below. For Schedule C filers, this information will also flow to the Schedule C, Part IV, or Form 4562, Part V, whichever is applicable.

1. Go to the Input Return tab.
2. Select Deductions from the left menu.
3. Select Vehicle/ Employee Bus. Expense (2106).
4. Select the form to link this vehicle to in Form (Click on arrow to select from list).
5. Scroll to the Vehicle Information section and complete the applicable information.
6. In the Vehicle Expenses section, enter the Date placed in service, Total mileage, and Business mileage.
7. Scroll to the Actual Expenses subsection and enter any applicable amounts.
   • If actual expenses are entered, ProConnect will automatically determine the greater deduction between mileage or actual expenses. 
   • You can force either deduction in the field 1=Force Actual Expenses, 2=Force Standard Mileage Rate.

Additional information

• Two vehicles can be entered on each tab.  If more entries are required, select the +  from the top of the screen to add a new tab.
• If you link more than two vehicles to the same Schedule C, the listed property information carries to Form 4562, Page 2.
• Expenses for employees with disabilities carry to Schedule A in full if you enter 2 in:  1 If Qualified Performing Artist, 2 If Handicapped Employee, 3 If Fee-Basis Govt. Official.
• Fee-basis government official expenses carry directly to Form 1040 if you enter 3 in: 1 If Qualified Performing Artist, 2 If Handicapped Employee, 3 If Fee-Basis Govt. Official.
• Excess reimbursements for expenses other than meals and entertainment carry to Form 1040 as additional wage income.