| Author |
Message |
J Haller (Jh355)
Junior Member
Username: Jh355
Post Number: 71
Registered: 6-2003
| | Posted on Wednesday, August 13, 2003 - 8:43 pm: | |
John
I am in a niche medical manufacturing business. Growth curve is good over the next 20 years with retirees and the aging population able to afford elective medical procedures.
My current stable houses the F355 and Arnage. I sold the 360 last May, needed to make room for a new addition to the family.
JH
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John (Cohiba_man)
Junior Member
Username: Cohiba_man
Post Number: 221
Registered: 1-2003
| | Posted on Wednesday, August 13, 2003 - 8:19 pm: | |
J Haller, whats your business? I ask because that is a very impressive stable of cars... |
J Haller (Jh355)
Junior Member
Username: Jh355
Post Number: 70
Registered: 6-2003
| | Posted on Wednesday, August 13, 2003 - 5:24 pm: | |
IRS Red flags don�t mean anything. You just better be able to legally back up your claim with paperwork to prove your position. Just because it�s a Ferrari the IRS will not necessarily disallow the deduction, but again you had better be able to prove it�s used for company business. Many accountants like to live at 70% of case law, others live at 95% just depends on their clients needs and their knowledge of case law (most don�t understand case law at all) and how comfortable they feel with defending the position if an audit occurs.
Keep in mind
IT�S YOUR FIRST OFFER TO THE IRS. Don�t overpay, they can always ask you to pay more.
JH
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Rijk Rietveld (Rijk365gtb4)
Member
Username: Rijk365gtb4
Post Number: 279
Registered: 1-2002
| | Posted on Wednesday, August 13, 2003 - 4:53 pm: | |
I have the Cayenne Turbo as the company car and the Daytona private.
Rijk |
wayne skiles (Bad_tt)
New member
Username: Bad_tt
Post Number: 36
Registered: 8-2002
| | Posted on Wednesday, August 13, 2003 - 4:42 pm: | |
Tried that with Daytona Spyder (conversion).
I was audited this is in the mid 80's
the IRS agent found that in the first hour. It cost me $5000. The good thing is they concluded audit quickly then moving on to the next taxpayer.
Was told they are rated by dollars collected
so it is in the auditors best interest to move
quickly and not stay around digging for another 4-5 days and finding maybe another 1000 or two. |
Bart Duesler (The_bart)
Member
Username: The_bart
Post Number: 280
Registered: 1-2003
| | Posted on Wednesday, August 13, 2003 - 4:38 pm: | |
Sure, my company owns my 550. Yes, the IRS knows about it. The company cannot take all the deductions it could if it were a cheaper car. The only reason it is registred in my name is for insurance. Company insurance is 3 or 4 times the amount as an indiviaul.
If you know me, I use my car only on business. I deliver books for my classes. Yes, I know it is an expensive delivery truck but so what.
I drive it to meeting both during the day and at night. If I use it on my own time, I must "rent it" from the school. Bummer. |
Jason W (Pristines4)
Member
Username: Pristines4
Post Number: 591
Registered: 12-2002
| | Posted on Wednesday, August 13, 2003 - 4:34 pm: | |
What if the car was used for advertising purposes? Say a company owned race car that was basically a moving sign? |
John Perry (Perryaviation)
New member
Username: Perryaviation
Post Number: 44
Registered: 6-2003
| | Posted on Wednesday, August 13, 2003 - 4:07 pm: | |
most of my family's cars are bought through the company, I just wondered if a ferrari wouldthrow up red flags to the IRS, having the cars "owned by the company" is legal(??), but you get into trouble when you start claiming deductions on them. I just want to find someone more knowledgable then me on the subject, to answer a couple of questions. |
Martin - Cavallino Motors (Miami348ts)
Senior Member
Username: Miami348ts
Post Number: 5668
Registered: 5-2001
| | Posted on Wednesday, August 13, 2003 - 4:00 pm: | |
I had a couple of people do it. In order to write them off though you better have good tax advise.
in the US depreciation is only $3000 no matter what car you buy. So it may be better to lease the car and take the full lease depreciation.
You need the right biz to do that. My Ferrari business lets me do that. |
Kds (Kds)
Junior Member
Username: Kds
Post Number: 109
Registered: 5-2003
| | Posted on Wednesday, August 13, 2003 - 3:22 pm: | |
Every customer of mine who owns a Ferrari, Porsche or Mercedes "may" put it into their company to get the GST (7% Canadian sales tax) tax credit back....but they definitely do not write the cars off as personal vehicles or take any depreciation....it's just too much of a red flag for the tax people.
Of course.....US laws/practices are different. It's just my 2 lira's worth. |
Mister Jones (Davey_jones)
Junior Member
Username: Davey_jones
Post Number: 99
Registered: 9-2002
| | Posted on Wednesday, August 13, 2003 - 2:25 pm: | |
I actually thought about this but decided against it. Our accountant is so "by the book" - I decided to save up on my "favors" and not push it...
d |
John Perry (Perryaviation)
New member
Username: Perryaviation
Post Number: 43
Registered: 6-2003
| | Posted on Wednesday, August 13, 2003 - 1:49 pm: | |
Does anyone have your ferrari bought as a "company car". Or have knowledge of putting personal cars in company name, to write of the depreciation ?
Thanks |