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mmalone1973
Level 1

How much should I put down on a new (to me) car (<6000lbs) to maximize 2022 tax deductions? I think the answer is $19,200 and finance the rest. Let me know if I’m wrong

LLC formed in Sept 1st 2022….used 100% for work.  Maybe it’s $11,200 down and finance the rest?  Buying car between now and end of year.  Taxable
Income ~ $35k
2 Comments 2
ReymondO
Moderator

How much should I put down on a new (to me) car (<6000lbs) to maximize 2022 tax deductions? I think the answer is $19,200 and finance the rest. Let me know if I’m wrong

Hello dear, @jhcct.

 

When spending money, the amount in your bank account will decrease, and the expense will increase. The expense will decrease when a deposit in your bank affecting on the same expense account.

 

Additionally, you can check this article to learn about tracking bills and recording payments: Enter bills and record bill payments in QuickBooks Online

 

I'll be around to help whenever you have other questions about the expense in QuickBooks. Keep me in the loop by leaving the details in your reply. Have a good one.

Rainflurry
Level 15

How much should I put down on a new (to me) car (<6000lbs) to maximize 2022 tax deductions? I think the answer is $19,200 and finance the rest. Let me know if I’m wrong

@mmalone1973 

 

The down payment amount is irrelevant.  If you buy the vehicle, regardless if you finance it or pay cash, you can depreciate it.   

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