With tax time looming, now is the time to think about what you may owe to — or perhaps what you could be getting from — Uncle Sam. And if you’re thinking about buying or leasing a car sometime soon, taxes could play a big role in your decision. The Honda financial center at Heritage Honda Parkville has some tips that can come in especially handy this time of year.
Using Your Car for Business
Do you use your vehicle for any sort of business-related purposes? If so, you may be able to deduct certain expenses, like payments, gas, and insurance. If you only use the vehicle for your job, you may be able to deduct the entire cost of ownership and operation.
Even if you lease instead of own, you can benefit from tax rules for drivers. However, as always, it is advisable to speak to a tax professional to fully maximize your vehicle write-offs.
Using Your Tax Refund for a Car
If you plan to receive a nice refund or you’ve already gotten it, this could provide an excellent down payment for a vehicle. Plus, if you are looking to replace an older vehicle, its trade-in value can add to this amount. Be sure to find out what it is worth to get a good idea of how much money you will have to work with.
Ask Our Honda Financial Center About Finding the Right Car in Parkville, MD
Heritage Honda Parkville always has a big selection of new and pre-owned vehicles. Visit us to check out the vehicles we have in stock and to take some test drives. And if you have any questions or concerns about taxes related to purchasing a car or tax deductions, one of our financing professionals will be glad to give you the answers you need.
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