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IRS covers the Business Use of a Car . It explains how individuals can deduct expenses related to operating a vehicle for business or professional purposes. 🚗 Deduction Methods

: You track the actual cost of operating the car. This includes gas, oil, repairs, tires, insurance, and registration fees. 🛠️ Key Rules and Limitations

: You multiply the business miles driven by a set IRS rate. This requires you to choose this method in the first year the car is available for business use. IRS covers the Business Use of a Car

You can generally choose between two primary methods to calculate your deductible car expenses:

For more detailed guidance, refer to IRS Publication 463 regarding travel and car expenses. This includes gas, oil, repairs, tires, insurance, and

: You must maintain adequate records or evidence to support your statement of expenses.

: If a car is used for both business and personal trips, you may only deduct the portion of costs attributed to business use. You can generally choose between two primary methods

Topic no. 510, Business use of car | Internal Revenue Service