How should I handle a car lease taxes under S corporation?

Answer by  mpartin (1600)

An S corporation is an extension of your personal taxes to some degree. For example, if you own a S corp entity and someone sues you they can only sue the corporation and not you personally.

Answer by  Att4372 (1704)

Generally, a S corp is a disreguarded entity. You report car expenses on Schedule C. If taxes are separately stated, deduct them as taxes: otherwise, as car expenses.

Answer by  Chaneygirl (1755)

Who's name is the care leased in, the s-corp or yours? If the corp leases it, deduct the lease payments on for 1120, but do the lease inclusion. If you use the vehicle personally, be sure to add the value of personal use back to your w2. If you lease the vehicle personally, reimburse yourself for the business portion.

Answer by  LegalGirl (183)

This is a fairly loaded question, Laws and statues vary on a place by place basis. You'll need to contact your local state legislator or municipal court to verify the allowances in place per county. In addition, laws change year by year, so make sure you keep up to date.

Answer by  Att4372 (1704)

Car taxes can be deducted if the lease specifically specifics what those taxes are. If a single person S-corp, report taxes on schedule C of your return. If a partnership, report them on the K-1 (1065) and then on your K-1 for your 1040