Answers

• 04350 11/12/09 9:53 pm PST

  Edit Answer (for another 15 minutes) Is your purpose income tax related or insurance related? (0)(0) Report It

• jb_turner 11/13/09 4:33 pm PST

  Edit Answer (for another -5 minute) You are a bad risk... you will not be able to get a loan. (0)(0) Report It

• wantslux 11/13/09 4:57 pm PST

  Edit Answer (for another -41 minute) Thanks for your responses. I am going to buy a used car outright so I wont need a loan. Im trying to figure out if any tax benefits from registering under a corporation will outweigh the cost of insurance. Which registration would save me the most money in the long run? (0)(0) Report It

• morin2 11/14/09 8:44 am PST

  Edit Answer (for another 6 minutes) This is a great question. Its also one of those that may bring up many more questions - so I hope that you're not looking for a quick & simple answer. I assume that your corporation is registered with the state and that the car would be used 100% for business use. In that case, the car should be considered an asset of the company. I don't know if it can be depreciated like real property, but the car expense should reduce your gross income as a business expense. I'm not an accountant and didn't stay at a Holiday Inn Express last night, so you know what they say about free advice... I think there are enough other factors involved, like the auto insurance, liability, etc., that a business advisor or accountant would be a good idea. If you're a student, maybe a business class or tax accounting class would be useful. I believe that you can even get free tax training from the IRS if you volunteer in their VITA program. I hope some others chime in here on this question. Good Luck! (0)(0) Report It

• 04350 11/14/09 4:25 pm PST

  Edit Answer (for another -13 minute) I'm not an accountant but first is this a c corporation, a Sub-S or an LLC? Is the business incorporated? If the business is incorporated, do you realize that there will be some accountant's fees for preparation of the applicable corporate related tax returns such as a K-1 before you get to a Sched E? Do you own all of the corporate shares? Other than the vehicle related expenses, are you expecting a net loss or a net profit from the business related income? If you really are serious about doing this correctly, you'll need an accountant and probably an attorney to set this up correctly. (0)(0) Report It