Leasing and tax claims

strongbad1

Is it true that if you own your buisness and if your lease payments for your work vehicle total at the end of the year is $6000 or less, you get to claim it on your tax and get all $6000 back?

Iam in canada by the way, thanks.

brian125

I posted both US and Canada's tax laws on leasing.

USA Automobile. If you bought a car in 2014, you can add the sales tax amount paid on the vehicle to your state sales tax deduction – if you itemize and choose to deduct sales taxes rather than state income taxes. If the sales tax rate on the car or truck is higher than the general sales tax rate, you can only deduct the amount of tax due at the general sales tax rate. I'm not sure how much of the lease payment you could write off here in the US. I did post that info below if you want to check.


Depreciating vehicles used for business. Despite the expensing and bonus depreciation rules, there’s a limit on how much of the cost of a vehicle used in your business can be written off in the year of the purchase. If you bought a vehicle for your business in 2012, you can deduct up to $11,060 of the cost as depreciation.

Canada's IRS leasing tax by laws

http://www.taxtips.ca/smallbusiness/passengervehiclelimits.htm

http://business.financialpost.com/2013/02/19/get-the-most-out-of-tax-deductions-for-car-expenses/

Below is the US tax by laws on leasing

http://smallbusiness.chron.com/write-off-vehicle-payments-business-expense-62254.html

http://yourbusiness.azcentral.com/write-off-leased-car-business-expense-1430.html