Under the actual cost method, which, if any, of the following expenses will not be allowed?

Question

Quizplus · Accepted Answer

Under the actual cost method, only expenses that are directly related to the use of the vehicle for business purposes are allowed as deductions. Interest on a car loan is not considered a direct expense of using the vehicle for business purposes and therefore is not deductible. The other expenses listed (car registration fees, auto insurance, dues to auto clubs) may be deductible if they are directly related to the use of the vehicle for business purposes.

Under the Actual Cost Method, Which, If Any, of the Following