Where do I enter automobile and truck expenses (including mileage) in a S corporation return?
There are two options:
- Use screen AUTO to enter details for vehicle expenses (starting with Drake23).
- Make sure to select DED in the For drop
list if you want the amount to carry to Form 1120-S.
- Press PAGE DOWN to enter
details for each vehicle on a new screen.
- In View/Print mode, Wks Auto is generated, the amount is shown on Statement 2, and is added to the "Other deductions" line on Form 1120-S.
- Calculate and enter the total of all car and truck expenses directly on the DED screen in the field Automobile and truck expense. This is an override field starting in Drake23 if the AUTO screen is used.
- If you complete Form 4562
outside of Drake Tax and want to enter the information directly on the form
for record keeping purposes, actual mileage can be entered on screen 9.
Note: You can enter the mileage for record keeping purposes; however, expenses based on the standard mileage rate and business
miles are not calculated by Drake Tax in the 1120-S return due to IRS
guidelines detailed in Rev. Proc. 2006-49. Actual expenses must be entered for any amounts to carry.
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