26 Sandra comes into your office for advice about using her vehicle in...
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Accounting
26 | Sandra comes into your office for advice about using her vehicle in her cleaning business. She estimates that her business mileage and expenses will be about 75% of her total use and she will be using this vehicle for the next five years. She would like to have a deduction each year for the vehicle. What advice would you give? |
A.- Recommend that she use SMR because the record keeping requirements are easier. Then explain how to keep a mileage log. | |
B.- Recommend that she use actual expenses because she will get a higher deduction. Explain recordkeeping requirements. | |
C.- Use the maximum depreciation in the first year, along with actual expenses. Thereafter, just keep track of expenses. | |
D.- Show her the options available, SMR and actual expenses, along with estimates of each type of deduction and let her make the choice. | |
30 | A taxpayer could incur travel expenses if they are: |
A.- Away from their tax home on business for a time period substantially longer than an ordinary day's work, and they are in need of rest to meet the demands of that work. | |
B.- Working at a second job on the same day they worked at their regular job. | |
C.- Working at a new location on an indefinite assignment. | |
D.- Working outside their area of domicile for a time period substantially longer than an ordinary day's work, and they are in need of rest to meet the demands of that work. |
Tax - Intermediate Vehicle Expense [2019] _ |
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