Bought a car last year. How does that affect my tax return?
Feb 25th, 2012 5:27 pm
Feb 25th, 2012 5:36 pm
Feb 25th, 2012 5:54 pm
Feb 25th, 2012 6:49 pm
Feb 25th, 2012 7:01 pm
Feb 25th, 2012 8:14 pm
Feb 25th, 2012 11:48 pm
what if s/he registered the car as a personal vehicle, but used it for business purposes. OF course i am referring to the self-employed situation. Can it be claimed as expense then?
Feb 26th, 2012 12:27 am
Feb 26th, 2012 7:57 am
Feb 26th, 2012 8:52 am
MoneyAndWealth wrote: ↑Feb 26th, 2012 7:57 amAs others have stated it doesn't impact your taxes unless you use the vehicle for business purposes. If you do use it for business purposes then you can deducat a portion (or all) of the monthly payment (or lease), financing costs, insurance, gas, maintenance etc.
Feb 26th, 2012 9:13 am
Feb 26th, 2012 11:53 am
mikeymike1 wrote: ↑Feb 26th, 2012 9:13 amWow, so many wrong answers on this thread.
You don't have to be BFS (business for self) to claim automotive expenses on your income tax return.
If you are self employed (you haven't said so in your posting) then your accountant or tax preparer will know how to claim it on your T1 General.
Now, if you are employed for a business as a fulltime employee and if your employer sent you out for deliveries, sales calls, visiting clients, pick-up packages, parking fees etc or anything in that nature with your own personal vehicle then you can claim all that plus fuel and maintenance costs(note: your $$ amount will be predicated on usage)
All you need is a signed T2200-11e or T4044 form from your employer
Your expenses claimed can include and GST/HST you paid too.
If you are a hourly-paid or salaried employee then you may also need to fill out T777-11e form
Feb 26th, 2012 12:01 pm
virgilaug wrote: ↑Feb 26th, 2012 11:53 amWhat if I own a business, make 20k a year from it, but im also in school. Can I claim my school tuition on my taxes, then claim my car & it's running expense on my taxes either?
What is there to prevent people from claiming more for expense than what it costs them?
Feb 26th, 2012 1:26 pm
mikeymike1 wrote: ↑Feb 26th, 2012 12:01 pmYou can't. Don't be ridiculous.
Everything must be within reason and justifiable. Read what I wrote: your $$ amount will be predicated on usage
You can't claim 20k if your income is only 20k.
Being audited - That's what prevents people from being stupid from claiming crazy amounts that totally makes no sense.
Feb 26th, 2012 1:32 pm
virgilaug wrote: ↑Feb 26th, 2012 1:26 pmI know. That would be so obvious if I made 20k and claimed 20k.
But what If I made 20k, bought a car for 5k, factored in gas and insurance say 5-6k, and then bought some equipment like a computer 1.5k, plus tuition say 6k. Total of 17.5k - 18.5k in claims. That seems reasonable right?
In later years it would obviously be less because I would not have to buy a car.