Can You Write Off Maintenance on Your Car?

Maintaining a car can be a significant expense, especially if you rely on your vehicle for work or personal transportation. Fortunately, there are certain circumstances where you can deduct car maintenance expenses on your taxes. This article will explore the eligibility criteria, deductible expenses, and documentation requirements for claiming car maintenance deductions.

Eligibility Criteria

Business Use:

• You must use your car for business purposes, such as commuting to work, meeting clients, or transporting equipment.
• You cannot deduct expenses for personal use of the vehicle.

Self-Employment:

• If you are self-employed and use your car for business, you can deduct car maintenance expenses as a business expense.

Armed Forces Reservists:

• Reservists can deduct unreimbursed car expenses, including maintenance costs, if they use their vehicles for official military duties.

Qualified Performing Artists:

• Performing artists who use their cars for business can deduct unreimbursed car expenses, including maintenance costs.

Fee-Basis State or Local Government Officials:

• State or local government officials who are paid on a fee basis can deduct unreimbursed car expenses, including maintenance costs.

Employees with Impairment-Related Work Expenses:

• Employees with disabilities who use their cars for work-related transportation can deduct unreimbursed car expenses, including maintenance costs.

Deductible Expenses

The following car maintenance expenses are generally deductible:

• Repairs and maintenance (e.g., oil changes, tire rotations, brake pads)
• Parts and supplies (e.g., batteries, spark plugs, filters)
• Towing and roadside assistance
• Car washes (if related to business use)

Documentation Requirements

To claim car maintenance deductions, you must keep meticulous records of your expenses, including:

• Receipts for all expenses
• Mileage logs that track business-related travel
• A detailed description of the business purpose for each expense

How to Deduct Car Maintenance Expenses

Business Use:

• Deduct car maintenance expenses as part of your business expenses on Schedule C (Form 1040).

Self-Employment:

• Deduct car maintenance expenses as a business expense on Schedule SE (Form 1040).

Other Eligible Individuals:

• Deduct unreimbursed car expenses, including maintenance costs, on Form 2106 (Employee Business Expenses).

While you cannot deduct the full cost of maintaining your car, you can claim deductions for expenses related to business use or certain other eligible circumstances. By meeting the eligibility criteria, keeping accurate records, and following the proper deduction methods, you can maximize your tax savings and reduce the financial burden of car ownership.