Is a motorcycle for YT a tax write-off?

TannahMae

TannahMae

TannahMaeMoody
Hey everyone. So there was only one other thread that I could find that kind of touched on this subject but the question was not exactly answered.

If you have a monetized YouTube Channel and you are only motovlogging. And you want to buy a new motorcycle specifically to motovlog, can that entire purchase be a tax write-off? Location is CA,USA.

I am wondering because it would help out tremendously with my "start-up" costs. The last two years, I wrote off my portion of comp and editing software that I use for motovlogging specifically. I know you can write-off miles but I am wondering if the whole vehicle can be a tax write-off?

Thank you,
 
I’ve replied to the other thread you posted this in.

Short answer for anyone else wondering: you might be able to, you may also only be able to write off a portion, but you MUST get proper tax advice for the location you are in as bikes aren’t a commercial vehicle.
 
Writing as someone who wrote off their previous bike for R&D for customization -

I see you asked your 4.3K subs. I would highly recommend getting a certified financial planner instead.

No offense but federal and state tax codes are not to be taken without thorough research and advice from experts in the field of financial planning and business/tax law.
 
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Lurch said:
I’ve replied to the other thread you posted this in.

Short answer for anyone else wondering: you might be able to, you may also only be able to write off a portion, but you MUST get proper tax advice for the location you are in as bikes aren’t a commercial vehicle.
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True. They fall under an asset like a desk, computer, etc and require a lot of documentation for use unlike a desk, computer, etc. Plus, where I am I have to pay state business tax, local business tax, file schedule C with the feds, and so on...

On a lighter note - Anyone price commercial desk insurance lately?
 
R-Rated said:
Writing as someone who wrote off their previous bike for R&D for customization -

I see you asked your 4.3K subs. I would highly recommend getting a certified financial planner instead.

No offense but federal and state tax codes are not to be taken without thorough research and advice from experts in the field of financial planning and business/tax law.
Click to expand...
Appreciate your response. I am trying to get lucky and see if I get in touch with a type of CPA that way. Or if anyone knew one in CA.

On another note, I think I found the answer but I don't have to like it! :)
 
I've never thought about it. But at what I know for the UK if you were to set up a business you could claim tax/vat through the business. I don't know about anywhere else in the world
 
Even in the UK you can’t just write the bike against tax in all situations, however, you can claim 25p per mile against turnover when using the bike for business purposes.

If HMRC were to be bloody minded, they could check you’ve got business insurance to substantiate claims of business use.

I do use my bike in connection with work, and you need to think about what you’re claiming for.
 
Lurch said:
Even in the UK you can’t just write the bike against tax in all situations, however, you can claim 25p per mile against turnover when using the bike for business purposes.

If HMRC were to be bloody minded, they could check you’ve got business insurance to substantiate claims of business use.

I do use my bike in connection with work, and you need to think about what you’re claiming for.
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Yeah I knew claiming per mile already from other jobs I have. Like acting and real estate, over here we get like 37 cents per mile or so? But my tax guy let me write off a % of my other vehicles. You can do leases vehicle write offs too
 
Consult a local CPA or tax professional in your area.

My understanding is that in order to write something off, it needs to be a business expense. So you need to have a business license operating your monetized Youtube channel. In this case, you would also need a business insurance policy on the motorcycle as your personal insurance may no longer cover it since it's being used for commercial purposes now. Now that it's a business expense, it will reduce your tax liability as you likely won't have made a profit for the year and your business may not owe taxes since there aren't any profits. When considering the costs of business licensing and insurance, it probably won't be worth it.

you CAN claim the federal mileage reimbursment rate when using it for business purposes. Again though, if an accident happens and your insurance company finds out, you may not be covered or they may not pay because it was being used for commercial reasons. Commercial vehicle insurance is expensive.

I wouldn't bother. If you're a small channel and make small amounts, treat it as a hobby. Also, I believe Youtube sends a form 1099 to the IRS as well for ad revenue paid and if you haven't registered for adsense as a business, it's probably in your personal name and personal income taxes. Here's a link to the IRS hobby vs business guide:

https://www.irs.gov/newsroom/five-things-to-remember-about-hobby-income-and-expenses

The deductions publication regarding a hobby:
https://www.irs.gov/pub/irs-pdf/p529.pdf
 
Superfist said:
Consult a local CPA or tax professional in your area.

My understanding is that in order to write something off, it needs to be a business expense. So you need to have a business license operating your monetized Youtube channel. In this case, you would also need a business insurance policy on the motorcycle as your personal insurance may no longer cover it since it's being used for commercial purposes now. Now that it's a business expense, it will reduce your tax liability as you likely won't have made a profit for the year and your business may not owe taxes since there aren't any profits. When considering the costs of business licensing and insurance, it probably won't be worth it.

you CAN claim the federal mileage reimbursment rate when using it for business purposes. Again though, if an accident happens and your insurance company finds out, you may not be covered or they may not pay because it was being used for commercial reasons. Commercial vehicle insurance is expensive.

I wouldn't bother. If you're a small channel and make small amounts, treat it as a hobby. Also, I believe Youtube sends a form 1099 to the IRS as well for ad revenue paid and if you haven't registered for adsense as a business, it's probably in your personal name and personal income taxes. Here's a link to the IRS hobby vs business guide:

https://www.irs.gov/newsroom/five-things-to-remember-about-hobby-income-and-expenses

The deductions publication regarding a hobby:
https://www.irs.gov/pub/irs-pdf/p529.pdf
Click to expand...

Good links, I have been keeping track of my miles when I go out to vlog, as well as camera equipment etc... I guess I will have to decide if I am a business or a hobby. A bit more research is needed...
 
Id be more worried about claiming that then another gov office asking to see you business insurance for the bike. If like me living in London that would be the cost of the bike!
 
Business insurance can actually reduce your premium as it removes commuting from the policy, because you are likely to shift some of your peak time travelling to off peak which is lower risk. You don’t have to use it for work purposes, but you then could and be insured. Many people use their car to travel between work jobs, but only have sdp&c which means they’re effectively uninsured other than to and from the main place of work.
 
when i was in the RN we had to have business insurance on any vehicle we claimed mileage for. Made no real difference to the cost.... saying that, I had a Ford Transit so it came in on commercial insurance anyhows.
 
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