How to Get a Tax Write-Off for Car Loan Interest

CarsDirect reports:

"Unfortunately, most people cannot take advantage of writing off car payment interest on their taxes. This deduction usually applies only to those who are self-employed or own their own business. It is not for people who work under another employer or people who are on some form of government assistance. And as always, take some caution when you deduct anything from your taxes...Get a notebook and start to write down how much time you spend using the car for work[-]related purposes. This includes any time spent going to and from business appointments. Keep track of your mileage and how often you use your car...You need to calculate the entire expenditures of your car. Multiply your monthly fee by 12 to get the exact dollar amount. If you have had your car for less than 12 months, calculate the expense by multiplying your monthly fee by the number of months you have leased the vehicle or car...If you are using the same car for both business and personal use, calculate the percentage of how much time you use the car for business use...Deducting the costs of leasing a car is ideal for those who use any vehicle for 50% or more business[-]related reasons. If the said car is used strictly for business, this does not apply, but please check with a tax professional for more information and to make sure you don’t get audited...If you’ve been leasing a car that costs a lot, then you need to configure the lease conclusion cost. Ask your tax professional how to do this...When writing of[f] the interest of your automobile, it's important to take [into] account the extra costs. This includes gas, insurance, and maintenance fees. Keep records of everything you spend and save copies of bills or receipts for proofs of purchase...Bring in all your information and papers that pertain to business[-] and auto[-]related expenses. Carry a notebook with your car lease information, car leasing bills, insurance papers, receipts, etc. Be prepared to answer questions about car[-]related and business[-]related usage, so make sure you’ve figured out and deducted the costs ahead of time...If you’re new to deducting business[-]related expenses, or have any questions, please consult a tax professional for advice."