Paying prior to arrival for tax purposes

[rickmustang]

My build schedule is Jan 31. I have a VIN. I really need to pay for the truck this year to take advantage of taxes. I can probably draw up a contract with my dealer. Anyone ever done this and have advice?

 

[Loshad]

Talk to a tax lawyer. This ain't DIY. A CPA would give you
numbers but you need legal expertise for the contract.

I know what I'm talking about. I got my truck but I'm
living in a tent as a result...

 

[rickmustang]

My CPA advised buying the truck this year. It just won’t be here in time. But I could pay for it this year. Just wondering if anyone else took this approach. I have an attorney that can draw up a contract. Thanks

 

[weatherherk]

My build schedule is Jan 31. I have a VIN. I really need to pay for the truck this year to take advantage of taxes. I can probably draw up a contract with my dealer. Anyone ever done this and have advice?

Talk to a tax lawyer. This ain't DIY. A CPA would give you
numbers but you need legal expertise for the contract.

I know what I'm talking about. I got my truck but I'm
living in a tent as a result...

View attachment 40817

tent/dog house

 

[Randy92Fox]

Is it for your business for schedule A itemized deduction for just sales taxes? If for business the truck needs to be "placed in service" to take the writeoff.

 

[Birdhunter39]

Doesn't matter that you wrote the check in 2021 if the truck isn't in service by then.

Would be disallowed if audited.

 

[rickmustang]

Thanks. That’s what I was afraid of.

 

[UCF]

My cpa said you need to actually receive the truck and "use" it in the tax year you are writing it off.

I brought up the same idea you had, they said nope.

 

[PapaRaptor]

Plus it is a bad idea to pay for it and not receive it. My brother in law did that with a camper. ( not for tax reasons but for financing ) His came in damaged and they had to build him a new one. He made 6 payments on something he did not have. He also missed out on the season since his old unit was sold off.

If the truck comes in and there is a problem with it or gets delayed or damaged you have options to go else where.

 

[stufarmer]

yeah, been there, wanted that too .. it doesn't work.