Internet Problem: Researching IRS Publication 463
Response to the following problem:
On August 29, 2012, Renee entered into a 36-month lease for a car valued at $60,220. Renee's monthly lease payment is $790. She uses the car 65% for business.
a. What affect does this lease arrangement have on the amount Renee can deduct in 2014?
b. How much of the lease payment can be deducted?
c. How is this information presented on the tax return?
Go to the IRS website. Locate IRS Publication 463 and find the appropriate page in Appendix A to answer the above question regarding Renee's inclusion amount. Print out a copy of the page where you found your answer. Underline or highlight the pertinent information.