Model X with Uber/Lyft "Hummer Loophole" Questions

[ST3ALTH]

I would like to get a Model X for my wife and use it for Uber/Lyft on the weekends. Probably around 75% of miles will be logged on rideshare, and the other 25% would be personal (wife commute).

Has anyone used rideshare to justify a Model X as a business expense??

Uber and Lyft are 1099 income, not sure if that matters. BTW I already have an LLC under my name for years already but have not done anything with it (no income yet). With Lyft and Uber I have always just used the simple mileage deduction on my taxes.

 

[wbhokie]

A business is a business. It doesn't matter what it is. If you want to do the hummer loophole, make sure to do odometer auditing to prove what is business miles and what is not. Commuting does not count for miles, though I'm not sure how that works in your situation. You can always discuss this with a CPA (there are some here) for specific help. You can always register the car in both your name and the LLC as well.

Have you read up on how this will work for you in future years? Your write-off for year 1 will depend on your business use for this year, but in future years you will have to continue to use it for at least 50% business as long as you own the vehicle. At the time you sell it, you will have to deal with reclaiming gains based off of your tax basis. Again... more CPA discussions.

 

[docVA]

Hi there
I have a question about buying tesla for business use

This is my situation : I have W2 job and i make 250k plus year . My wife own LLC and she makes 8-10k per year . I have two rental property via two different LLC . One is currently not rented (just bought) and other one i should make about 15k /year . Her work is seasonal and she sells mainly in fairs and shows. We are planning to buy Tesla X . Wanted to know if we can use the 179 benefit and use 25k first year and following year we can just use miles and other expanses . We are in December so we can easily show 100 % use for business .
Any advice would be appreciated