Personal vehicle for business use

[dwarmbrodt]

Jurisdiction

New York

My girlfriend has a regular job, and also a cleaning business DBA. In the middle of an IRS audit... She has a vehicle used 100% for the cleaning business and to traverse back and forth to her regular day job has her car and also uses my car. The IRS auditor is asking for proof she owns the vehicles used for commute or else she will subtract the round trip from the miles claimed as business miles. Well, I own the second vehicle she uses for personal use. Is it correct the IRS insists she needs to own it? I know, clear as mud... thanks in advance!

 

[adjusterjack]

She's free to ask the auditor to cite the federal statute that says that.

 

[army judge]

My girlfriend has a regular job, and also a cleaning business DBA. In the middle of an IRS audit... She has a vehicle used 100% for the cleaning business and to traverse back and forth to her regular day job has her car and also uses my car. The IRS auditor is asking for proof she owns the vehicles used for commute or else she will subtract the round trip from the miles claimed as business miles. Well, I own the second vehicle she uses for personal use. Is it correct the IRS insists she needs to own it? I know, clear as mud... thanks in advance!

Once the IRS CONFISCATORS begin to demand justification and proof, it's over, mate.

The IRS CONFISCATORS will not be held back until they've ravished their target completely.

You could try to add her to the title on the 2nd vehicle.

I doubt the CRAFTY IRS CONFISCATOR will be fooled.

Even the very wealthy can't defeat the voracious beasts.

When I was audited, I said, "Send me the bill. I'm not wasting my time trying to convince you people of anything."

After this brutal financial assault is over, stop being tricked, don't take those deductions. Deductions, in my view, are traps. The bait is the deadly refund.

You're free to try and box with those voracious beasts, after all, don't THEY tell you it's a FREE country?

 

[txls]

I can understand their request. I'm sure they hear that a lot "oh I never use my business vehicle for personal use, I use my friends car." But yes she can still ask the auditor for the statute. If you can evidence that you live in the same household that might be sufficient. If you don't live in the same household I don't see much chance of success.

 

[dwarmbrodt]

I can understand their request. I'm sure they hear that a lot "oh I never use my business vehicle for personal use, I use my friends car." But yes she can still ask the auditor for the statute. If you can evidence that you live in the same household that might be sufficient. If you don't live in the same household I don't see much chance of success.

Yes we live together and her name is on my insurance for that vehicle.

 

[txls]

So that might work but I couldn't say for sure.

 

[adjusterjack]

Yes we live together and her name is on my insurance for that vehicle.

What do you drive when she is using your vehicle for her personal use?

Beyond that, there is no such thing as 100% business use on a business vehicle.

Let's say she spends the morning shopping in your vehicle, comes home, puts the groceries away, and goes out to work in her vehicle.

The distance between home and first work stop is still commute and the distance from the last stop to home is still commute.

You wrote that the vehicle she uses for the cleaning business is a car. A CAR! Not a commercial pick up truck with commercial plates for which she pays commercial insurance rates that COULD qualify for 100% business use if she had her own (not yours) second vehicle for personal use.

Sorry, but she's not going to win this, even with her name on your policy.

At least this audit will teach her a valuable lesson in what red flags to avoid on her next tax return.