http://www.businessinsider.com/tax-loophole-on-luxury-cars-2012-11
More dis and miss information on public sites. This time the business insider is informing the public that there is no luxury automobile limitations on the deduction allowed for leased vehicles.
I recently had a member ask me about this. He/she was unaware that there was a luxury automobile limitation (IRC section 280F) on business use of leased vehicles. His assertion lead me to the business insider website linked above.
This is the season for hair dressers, real estate professionals and other part time tax experts to give their advice to your clients. Since their advice is often more hopeful than those with more complete knowledge of the limitations and negative side of tax deduction, we often find that our clients listen to the "other experts" rather than those of us who spend our lives studying taxes.
Was it Dave Rancort or Frank Kelly who asked me "You actually have clients who listen to you?' This comment made me think. Perhaps all those clients that I thought were listening to me actually thought the same way I did before they consulted me to confirm what they "already knew."
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Alfred Giovetti CPA, ABA, ATA, ARA
algiovetti@gmail.com
Giovetti & Giovetti, CPAs
Catonsville MD
(410) 747-0396
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