If you use a car for business, you have two choices for claiming deductions:
1. Deduct the actual business-related costs of gas, oil, lubrication, repairs, tires, supplies, parking, tolls, drivers' salaries, and depreciation.
2. Use the standard mileage deduction and simply multiply 55.0 cents for 2009 travel. (2008's rate was 50.5 cents for first six months and 58.5 cents for the last six months of 2008) by the number of business miles traveled during the year. Your actual parking fees and tolls are separately deductible under this method.
Which method is better?
For some taxpayers, the standard mileage rate produces a larger deduction. Others fare better tax-wise by deducting actual expenses.
When a business is considering expanding operations, choosing overseas might be a cost-effective option. However, when conducting business in person, it's important to understand the customs of each country. Some customs that are normal and respectful in the United States may actually be considered rude in other countries. For example, although the U.S. and Mexico are neighbors, they have very different views about eye contact. In the U.S., looking an individual directly in the eye is considered a sign of honesty. In Mexico, however, continued eye contact can be considered threatening and aggressive. Intermittant eye contact is best.
An Enterprise Zone is a specific geographic location in which the State and Town target programs to aid business expansion and job creation. The State of Rhode Island Enterprise Zone Program is designed to offer tax incentives to businesses that expand their workforce at facilities located in one of the state enterprise zones:
