Tax Rules for Vehicles
Author: Barbara Weltman
| CPE Credit: |
2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC |
Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2028 to receive credits. NOTE: Go to My Professional Profile in your CCH CPELink account settings to ensure your name, and PTIN number; matches your PTIN card
This course will cover the tax rules for cars, light trucks, and vans for individuals and businesses.
Publication Date: March 2025
Topics Covered
- Basic rules for cars, light trucks, vans, and commercial vehicles
- Write-offs for buying and operating vehicles
- New green energy incentives
- Other vehicle-related rules
Learning Objectives
- Describe the actual expense method versus the standard mileage rate for deducting the costs for business driving
- Describe the limitations on deducting depreciation for business vehicles
- Explain special terminology related to tax rules for vehicles, including deemed depreciation rate and inclusion amount
- Explain green energy tax breaks for buying EVs and other clean energy vehicles
- Identify the situations in which personal use of a vehicle is tax deductible
- Identify which elements must be substantiated when a taxpayer uses the standard mileage rate
- Recognize which method to use for figuring an employee's personal use of a company vehicle
- Identify factors in deciding whether to purchase an EV versus a fossil fuel vehicle
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
None
Advance Preparation
None
