Form 4562: Depreciation and Amortization
Quick definition
The IRS form used to report depreciation, Section 179 expensing, and bonus depreciation for business assets, including vehicles.
Form 4562 is where you report depreciation, Section 179 expensing, and bonus depreciation for business property, including a vehicle.
When you need it
You file Form 4562 if you use the actual expenses method and are depreciating your vehicle, or claiming Section 179 or bonus depreciation in the first year. If you use the standard mileage rate, depreciation is built into the rate and you generally do not file this form for the vehicle.
Listed property section
Vehicles are listed property, reported in Part V of Form 4562, which asks for your business-use percentage and whether you have written evidence to support it.
Related terms
Depreciation
Deducting the purchase cost of a business vehicle over its useful life, instead of all at once.
Section 179
A federal tax provision that lets businesses deduct the full cost of qualifying vehicles in the year of purchase, instead of depreciating them over time.
Actual Expenses Method
Deduct real vehicle costs times your business-use percentage, instead of using a flat per-mile rate.
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