I watched Mark for quite some time and I'm also an attorney. His advice on deducting the car is absolutely right. The deductions must make sense to the IRS and their business otherwise taxpayers get themselves in trouble.
Scenario. It’s the end of September ‘22. My business has done very well. Looks like I’m going to finish the year at $300k in profit. Wait…that’s a 80-90k tax bill. If you ever have to write that check and get NOTHING in return? That doesn’t work for me…, So I found a cash flowing small apartment 16 units, 800K. Created another LLC. For first business (Scorp) loaned my LLC 160K the funds for the down payment. Loan closed before the end of the year. Reduced my taxable income by half, tax bill came in at 25K which still upsets me. But have 800K asset that produces positive cash flow 21% cash on cash return. And the gift of yearly depreciation will help offset my scorp business. It’s a beautiful setup!
Wonderful breakdown of vehicle purchasing and tax write-offs. It's crucial to stay informed and make decisions that benefit our business in the long run. Your breakdown of the actual vs. mileage deduction methods and the importance of aligning vehicle purchases with our business needs is spot on.
You're the CPA/tax lawyer I trust to shoot it straight, so I came to you because I want to understand this new Biden proposal better. I'm sure you've heard of the headline 44.6% capital gains tax proposal from the current admin. Are you already working on a video for this, or would you if not already in progress? Would be much appreciated!
I wanna start small business on Turo. Also, I'd like to become an Uber Black SUV and Lyft driver. For these reasons I believe brand new Escalade it's a good idea. I can use new Escalade for two businesses, and I believe it can generate nice income. Also, I believe it's a big financial press I can put on my neck. Commercial insurance 1000 dollars and more. Finance about 3500g per month and fuel around 1500 dollars for this type of car. To cover common expenses, I can do Uber Black SUV, Lyft even Care Driver and sometimes to give myself day off when someone book my Escalade on Turo. For me brand new Escalade make sense to use as an Uber Black SUV, Lyft and renting out it on Turo. The question is, If I finance 140k car on December 2024, can I write taxes off through the actual method and IRS not gonna fck me good on this early bird stage?
When you were talking about people buying cars just to get a tax deduction, it brought to my memory a recent interaction. I was doing Lyft and gave a ride to a person that was doing contract work for the government. They told me they don't ever drive themselves and take Lyft or UBER to get to each job because they can simply write-off at tax time since they are doing contract work (1099). I didn't think that was smart assuming that a Lyft or UBER costs twice or more compared to driving yourself. I didn't argue with them because I wasn't sure if I was right. I was wondering if I was right to believe that wasn't smart? I am also questioning whether or not it was legal for them to write off the cost of Lyft or UBER rides because they were essentially commute miles from home to the job site or vice versa. What do you think?
I recently read that I can write off my dog as a guard dog. She is not only that but much more. She has been trained as such and has proven herself as such. Is this a real expense?
Can you make a guide for enlisted millitary members Mark? Particularly the E-3 paygrade with no BAH or BAS if you can. Anyways, I enjoyed the video. I am so glad you make these. Much love from South Carolina 🫡
My vehicle at 345,000 is about to croak eventually. I want to get the tax discount and take the millage. I avg. 65K miles a year. So do the millage? When you do Turo or Uber are you sure it does not need to be in business LLC name in order to provide protection? Or was was your comment specifically re: IRS doesn't care? I have so many questions.
Set up an office space near your home where you do business. Like an office suite you share. Or get a job delivering towels or something down the street from where you live. In the AM you deliver clean towels 2 miles from home and make 3 bucks. Then your drive to your primary job is between two places of work, unlike a commute this travel is tax deductible. On the way home pick up the dirty towels from the local yoga studio then your non-deductible commute is 2 miles from home.
@@socksincrocks4421 I am not a CPA but I don't think there is an amount. You can't deduct the drive from home to a place of work, ie the first and last drive of the day, but the IRS does seem to allow driving between two places of work. I did this for years before I went fully remote.
This seems like the worst period. Even the market are now very unpredictable. Started investing recently when the market prices were a bit high,today I am more than 60% down!?
![Lp. Сердце Вселенной #60 РОЖДЕНИЕ ЛОЛОЛОШКИ [Финал] • Майнкрафт](http://i.ytimg.com/vi/YoR0pAV9FVQ/mqdefault.jpg)
CPA here. Back in the early 2000’s I sold more Suburbans than a Chevy salesman.
Love this! Only make a purchase that makes sense in your business, don’t do it for a tax write off!
I watched Mark for quite some time and I'm also an attorney. His advice on deducting the car is absolutely right. The deductions must make sense to the IRS and their business otherwise taxpayers get themselves in trouble.
Scenario.
It’s the end of September ‘22. My business has done very well. Looks like I’m going to finish the year at $300k in profit. Wait…that’s a 80-90k tax bill. If you ever have to write that check and get NOTHING in return? That doesn’t work for me…,
So I found a cash flowing small apartment 16 units, 800K. Created another LLC. For first business (Scorp) loaned my LLC 160K the funds for the down payment. Loan closed before the end of the year.
Reduced my taxable income by half, tax bill came in at 25K which still upsets me.
But have 800K asset that produces positive cash flow 21% cash on cash return. And the gift of yearly depreciation will help offset my scorp business.
It’s a beautiful setup!
Wonderful breakdown of vehicle purchasing and tax write-offs. It's crucial to stay informed and make decisions that benefit our business in the long run. Your breakdown of the actual vs. mileage deduction methods and the importance of aligning vehicle purchases with our business needs is spot on.
Such a great video debunking these myths
Great stuff..that said the Tesla isn't truly helping the environment.
I bought two Honda Odyssey vans for one reason only to make delivery food services for my food truck. That’s a great write off
You're the CPA/tax lawyer I trust to shoot it straight, so I came to you because I want to understand this new Biden proposal better. I'm sure you've heard of the headline 44.6% capital gains tax proposal from the current admin.
Are you already working on a video for this, or would you if not already in progress?
Would be much appreciated!
Yes I NEED that new Ford Raptor
For anyone wondering: Tesla Model X > 6000# GVWR
Tesla Model Y < 6000# GVWR (no complete write off but $25k+ cheaper).
🗽I STILL HAVEN'T CALLED -- MY BAD -- NEED AGENCY
Excellent content! Can you do a video on the recapture tax should you sell a company vehicle?
I wanna start small business on Turo. Also, I'd like to become an Uber Black SUV and Lyft driver. For these reasons I believe brand new Escalade it's a good idea. I can use new Escalade for two businesses, and I believe it can generate nice income. Also, I believe it's a big financial press I can put on my neck. Commercial insurance 1000 dollars and more. Finance about 3500g per month and fuel around 1500 dollars for this type of car. To cover common expenses, I can do Uber Black SUV, Lyft even Care Driver and sometimes to give myself day off when someone book my Escalade on Turo. For me brand new Escalade make sense to use as an Uber Black SUV, Lyft and renting out it on Turo. The question is, If I finance 140k car on December 2024, can I write taxes off through the actual method and IRS not gonna fck me good on this early bird stage?
Why everyone is talking about AMS89K?
Only scammers like you are talking about it
When you were talking about people buying cars just to get a tax deduction, it brought to my memory a recent interaction. I was doing Lyft and gave a ride to a person that was doing contract work for the government. They told me they don't ever drive themselves and take Lyft or UBER to get to each job because they can simply write-off at tax time since they are doing contract work (1099). I didn't think that was smart assuming that a Lyft or UBER costs twice or more compared to driving yourself. I didn't argue with them because I wasn't sure if I was right. I was wondering if I was right to believe that wasn't smart? I am also questioning whether or not it was legal for them to write off the cost of Lyft or UBER rides because they were essentially commute miles from home to the job site or vice versa. What do you think?
Landscape business but here for it
I recently read that I can write off my dog as a guard dog. She is not only that but much more. She has been trained as such and has proven herself as such. Is this a real expense?
Can you make a guide for enlisted millitary members Mark? Particularly the E-3 paygrade with no BAH or BAS if you can. Anyways, I enjoyed the video. I am so glad you make these. Much love from South Carolina 🫡
Mr. Kohler what are your thoughts on the corporate transparency act?
What about Section 179 and Bonus Depreciation?
My vehicle at 345,000 is about to croak eventually. I want to get the tax discount and take the millage. I avg. 65K miles a year. So do the millage? When you do Turo or Uber are you sure it does not need to be in business LLC name in order to provide protection? Or was was your comment specifically re: IRS doesn't care? I have so many questions.
Good information! I am curious does it matter if the vehicle is preowned or does it have to be new?
How can I write off $1,100 between tolls and gas a month, commuting to work? NYC, NJ hates working-class people.
Set up an office space near your home where you do business. Like an office suite you share. Or get a job delivering towels or something down the street from where you live. In the AM you deliver clean towels 2 miles from home and make 3 bucks. Then your drive to your primary job is between two places of work, unlike a commute this travel is tax deductible. On the way home pick up the dirty towels from the local yoga studio then your non-deductible commute is 2 miles from home.
@@Tacticalathleticperformance Thank you... how much income will have to be earned for the "towel job" in order to claim the commuting expenses?
@@socksincrocks4421 I am not a CPA but I don't think there is an amount. You can't deduct the drive from home to a place of work, ie the first and last drive of the day, but the IRS does seem to allow driving between two places of work. I did this for years before I went fully remote.
Thank you Mark - why don't you whisper in your friend Karlton D's ear! HE is CONSTANTLY pitching poor and/or aggressive ideas solely to save taxes!
This seems like the worst period.
Even the market are now very unpredictable. Started investing recently when the market prices were a bit high,today I am more than 60% down!?
I agree just reached my goal of $500k yearly trade earnings. Setting realistic goals is an essential part of trading..
Please educate me, i'm willing to make consultations to improve my situation,
Please how do I find this financial counselor?
I'd love to know this mentor of yours
Even after watching so many UA-cam tutorial videos about trading I was still making..??
Can anyone explain AMS20K?
Thank you for sharing AMS89K💗 I really appreciate it
🔥🔥🔥
My investment portfolios are Bitcoin, ETH and AMS89K
Could someone provide a detailed explanation of what AMS20K is all about? I'm intrigued by all the buzz surrounding it