View Single Post
  #9 (permalink)  
Old 11-14-2005, 10:44 AM
bar10dah's Avatar
bar10dah bar10dah is offline
Ridiculously Active Enthusiast
 
Real Name: Keith
Location: Las Vegas
Hybrids: '05 Accord Hybrid
Posts: 1,346
Default Re: tax return for used ????

No, at least not at the IRS. But, the DMV (or MVD, depending in what state you're in) has a record of titlement. And if audited, the IRS can pull from that.

Taking the $2,000 tax deduction is simply a line entry. Can you lie and get away with it? Probably. As the IRS will not know if your vehicle was new (never owned), or used. Heck, they won't even know if you bought a vehicle at all!

But, would it be worth it if you get caught? Depending on when they finally audit you, could be up to seven years if I recall correctly (but indefinitely if they find a history of cheating), you'd be paying back the $2,000, plus interest, plus fines, PLUS possibly more depending on whatever else they find on your returns. Especially if you don't have receipts for deductions that you've claimed in the past.

For what it's worth, I'm NOT a tax professional, but I am a VITA volunteer.
Reply With Quote