Standard mileage and depreciation

Forum|Forum|4 years ago
January 5, 2022
3 replies
29 views

My client is truck driver. He bought his truck in 2014 for $140000. I have to do his returns from 2014 to 2019. Can I use standard mileage for first couple years and then use actual expenses and depreciate the 140000 for later years?

ProSeries Basic

This topic has been closed for replies.

Best answer by dkh

https://www.irs.gov/taxtopics/tc510

https://ttlc.intuit.com/community/business-expenses/help/can-i-switch-between-the-standard-mileage-rate-and-actual-expense-method/00/26060

dkhAnswer

Level 15

https://www.irs.gov/taxtopics/tc510

https://ttlc.intuit.com/community/business-expenses/help/can-i-switch-between-the-standard-mileage-rate-and-actual-expense-method/00/26060

IRonMaN

Level 15

No - for $140,000 I assume you are talking a "truck" truck vs a pickup truck. You need to use actual expenses for those thingies.

Slava Ukraini!

T

TaxGuyBill

Level 15

No.

I suspect you mean a semi-truck, which does not qualify for the Standard Mileage Rate at all. And I suspect the cost of fuel would exceed that anyways, so it wouldn't be the best option.

Even if the vehicle did qualify, the election to use the Standard Mileage Rate in the first year must be on a timely filed tax return. So late-filed tax returns can NOT make that election if it is the first year, and they would be required to use Actual Expenses.

J

JONI9611Author

Level 4

Thank you.

Sign up

Login with SSO

Let's get you signed in

Login with SSO