+26 votes
Can I deduct my car insurance expenses on schedule C for my business? I want to know if it's possible to claim car insurance as a business expense.
by (440 points)

1 Answer

+96 votes
Best answer
Yes, you can deduct car insurance on Schedule C if you use your car for business purposes. The portion of the car insurance that covers business use can be claimed as a business expense. However, if you also use the car for personal reasons, you can only deduct the portion that relates to business use. It's important to keep detailed records of your business mileage to support your deduction. Additionally, if you use the standard mileage rate to calculate your car expenses, the business portion of your car insurance is included in that rate. Always consult with a tax professional or refer to the IRS guidelines to ensure compliance with tax laws and regulations.
by (420 points)
selected by