J.K. Lasser's 1001 Deductions and Tax Breaks 2018

CHAPTER 7 Your Car

• Business Use of Your Personal Car
• Employer-Provided Car
• Vehicle Registration Fees
• Car Accidents and Other Car-Related Problems
• Donating Your Car
• Credit for Electric Drive Vehicles

Alert

At the time this book was completed, Congress was considering important tax changes that could affect 2017 tax returns and planning for 2018. Check the online Supplement in February 2018 at www.jklasser.com or www.barbaraweltman.com to see what changes have been enacted and when they are effective.

Americans love their cars. According to the U.S. Department of Transportation, there were more than 263.6 million registered cars registered in the U.S. as of 2015 (the most recent year for statistics). Cars can be expensive to buy or lease and to operate, especially with today's high fuel prices. But the tax law provides some relief for your car use by way of tax write-offs.

This chapter explains the tax breaks you can take for your car (the term may also cover light trucks and vans for certain purposes as explained later). Deducting the use of your car for medical-related travel is discussed in Chapter 2. Deducting the use of your car for a job-related move is discussed in Chapter 4. Deducting the use of your car when working as a volunteer for charity is discussed in Chapter 6.

For more information, see IRS Publication 463, Travel, Entertainment, Gifts, and Car Expenses; IRS Publication 535, Business Expenses; IRS Publication 547, Casualties, Disasters, and Thefts ...