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Old 03-26-2001, 10:28 AM
thefarmer4 thefarmer4 is offline
LawnSite Member
Join Date: Mar 2000
Location: Lancaster, NY
Posts: 71
Hello everybody,

I currently have a partner, we use his personal truck to do business. How can we fairly reimburse him for that usage and how do we show it on the tax forms.

We were think of paying for it per mile, but should we include gas and oil changes seperatly or as part of the per milage.

I just want to do it as simply as possible so I can record it in Quickbooks.

Thanks for your input.
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Old 03-26-2001, 10:40 AM
Fine Lines Lawn's Avatar
Fine Lines Lawn Fine Lines Lawn is offline
LawnSite Senior Member
Join Date: Mar 2001
Location: Indianapolis, IN
Posts: 447
If you compensate, say .25-.30 per mile, that would cover his gas and oil expenses. Those are common rates for companies that use sales reps. who use their personal cars. Of course there is more wear and tear on a service truck so you can add any benefits you desire for the convenience of using his truck. You might also check with his and your insurance companies for those ramifications, and your CPA could help you with the bookkeeping. Assign a truck number to it, so you can track truck expenses separately. Each of my trucks have separate expense areas in Quickbooks for gas, maintenance, insurance, washing, etc. Hope this helps.
Bill Parrish
Fine Lines Lawn
There are no stupid questions... they're just the easiest to answer.

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Old 03-26-2001, 06:49 PM
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Fantasy Lawns Fantasy Lawns is offline
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Join Date: Jan 2001
Location: Space Coast
Posts: 1,914
depending on how your set up ( inc ?? ) in either event he's allowed to recieve 33.3 cents per mile to cover gas & maintence of the truck

this may not sound fair ... but if the truck gets .. say 10 miles to the gal. ...he recieved $3.30 for that 10 miles to cover the gas & "wear" on truck ...or about $ 1.50-1.65 for that 10 miles

your CPA should be able to fully expain the options

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Time to Time ...... Every Now n' Then

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