Tag : Form W2

Employer Provided Truck and Car Expenses Tax Deductions When an employee is provided a car by their employer certain business use of vehicle expenses are deductible from the employees personal tax return.

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The amount that is deductible on an employees individual tax return as truck or car expenses deductions depends on the amount that the employer includes in the employees income for the vehicle expenses and the percentage of business and personal miles driven with the car for the tax year. If the employer included the full
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Employer Tax Deductions of Employee Expenses: How to Deduct IRS guidelines for deducting employee business expenses from the corporate tax return under both accountable and nonaccountable plans, including reimbursements and per diems.

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Whether under a reimbursement (i.e. employee uses their money for business expenses and is reimbursed later) or allowance (i.e. per diem) arrangement, employer deduction of employee business expenses depends on whether they have an accountable or nonaccountable plan. Further, in some cases, an expense might be fully deductible on the books but only partially deductible
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