My CPA told me to stop writing off my truck as 100% business use

I used to just claim 100% of my truck expenses for my tree service, since I only use it for work mostly. My CPA flagged it during a review and said that's a huge red flag for an audit if I ever get a personal use mile on there. He made me start tracking actual mileage with a logbook, separating business from personal trips. Turns out it's closer to 70% business use, but now I feel way safer if the IRS ever comes knocking. Has anyone else had to adjust their vehicle deductions after a professional pointed out the risk?

2 comments

2 Comments

abbyf7914d ago

Oh man, "100% business use" is exactly what I used to claim for my landscaping gig and boy did I learn that lesson the hard way. My CPA basically laughed at me and said "unless your truck sleeps at the job site and you eat every meal in it, you're begging for an audit." I feel you on that logbook thing, I keep mine in the glove box and write down every single trip like a crazy person now. Still, I'm pretty sure I'm at like 60% business use if I'm being honest with myself, but hey at least my accountant won't have a heart attack if the IRS shows up. My truck's got 150k miles on it and I swear half of those are just me driving to get coffee and supplies.

sullivan.quinn14d agoMost Upvoted

Half of those are just me driving to get coffee and supplies" - wait, you actually track coffee runs separately?