I am currently running my own business as of 3 weeks ago and will continue to do so only until the end of the year. My issue is, I don't want to pay boat loads of tax without getting anything out of this. What I am thinking of doing is buying an S2K. I will be making ~$80k from now until year end. Wanted to know how much of the $32K S2k cost I could realistically expense.

Any other tips greatly appreciated as well. Thanks a lot in advance.

 

Here you go.

You realize the Canadian list price is $48,500, not $32,000?

 

Thanks woodson. Any tips on incorporating myself and what I can "get away with" for deductions? TIA.

 

Wow, a C$20,000 capital cost maximum. They don't let you claim much in Canada do they?

 

It's actually $30,000 for 2002.
You should definitely get an accountant; it will be money well spent.

 

My cousin's a CA and my sister in law as of this Saturday are both accountants, one working for the ministry of finance, but they both seem to be useless on this matter. I think the key is getting a GOOD accountant

Thanks for your help

 

In the USA the best way to do it is buy the car in the name of the business. That way you can deduct the interest paid on the note and whatever mileage as depreciation. If you lease the vehicle for the business you can deduct the 'rent' paid on the lease.

 

Babyjoy, I'm sure your relatives are fine accountants, but income tax is a specialized area. Find an accountant that specializes in income tax.



Maybe this should be moved to off-topic?

 

Woodson, you have a PM. Thanks.

 

If you're going to write off the S2K as a business expense, wouldn't it be better to lease it rather than buying it??