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Small offices have unique needs, and thatincludes document shredding. Designed with the smaller business inmind, the Dahle 20314 is a cross-cut shredder that offers Level 3security and brings you into compliance with federal regulations. The As we all know to live in this world we have to perform some activity by which we can earn money. There are many activities by which we can earn money and meet the standards to live in this society. And from one of them is franchise. Franc
Looking for an easy way to increase your business deductions? Look no further than your driveway. First, the general rule: your vehicle is deductible tothe extent you use it for business.So, if you drive your car 100% for business, all car-related expenses are deductible.But if you use it less than 100% for business, do notdespair. Less-than-100% use is very typical amongsmall business owners and the self-employed -- you'll still come out way ahead by keeping good vehicleexpense records.For example, if you drive your car 75% for business,then you get to deduct 75% of your vehicle expenses.Now to the fun part.There are two methods for reporting your car expenses:1. Actual Expense Method2. Mileage MethodWith the Actual Expense Method, you have to keep trackof all your vehicle related expenses, such as:-- gasoline-- oil-- maintenance & repairs-- insurance-- license & registration-- wash & wax-- supplies & equipment-- depreciation expense (including Section 179 deduction)-- lease payments-- loan interest-- state and local taxesSo you add up all those deductions and multiply thetotal by your business use percentage, which is determinedby dividing business miles by total miles driven.The Mileage Method works like this: instead of trackingall the actual expenses listed above, you only need thenumber of business miles driven, which is multiplied bythe standard mileage rate published each year by the IRS.For 2003 the mileage rate is 36 cents per mile.For 2004 the mileage rate is 37.5 cents per mile.If you drove your car 10,000 miles in 2003, your deductionis $3,600 -- regardless of what your actual expenses mighthave been.NOTE: There are 2 actual expenses that are also deductibleunder the Mileage Method -- interest and taxes.Now for the obvious question: Which method is better?Well, here's how I look at it. If you want to get thehighest deduction, you should "run the numbers" underboth methods and then use whichever method results inthe higher deduction.You are allowed to pick whichever method you want.But once you pick a method, be careful to follow the ruleson "switching" from one method to the other: You can switch from the Mileage Method to the Actual Method,but generally are not allowed to switch from the ActualMethod to the Mileage Method.Having said that, let's be practical. If you haterecordkeeping, use the Mileage Method. It's much simplerand faster. You won't have to keep all those receipts.Even the Mileage Method requires some recordkeeping,however. You should keep a log that documents the businessuse of the vehicle. Here are 3 IRS-approved car logs:1. Daily Log. Yep, you just record all business miles forall 365 days of the year. 2. 90-Day Log. Here's a little-known rule -- instead ofkeeping mileage records for the entire year, you can get bywith just a representative portion of the year -- and a90-day period is considered an adequate representationof the entire year.So you would keep a Daily Log for a 3-month period, sayJanuary through March. To get your annual mileage total, youmultiply the 3-month total by 4.3. One-week Log. Here's another short-cut: The IRS alsoallows you to keep a log for just the first week of eachmonth. Then you multiply that week's mileage by 4 to get themonthly total.Regardless of which method you use, there's a goldmine ofdeductions sitting right there in the garage. Article Tags: Business Miles, Mileage Method, Actual Expenses, Mileage Rate
How,Drive,The,IRS,Crazy,Lookin