Paul A Thomas <taxman[at]negia.net> wrote:
- quote -

For that size deduction for riding a bicycle, I bet more
doctors would make house calls.

Seth

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Arthur L. Rubin wrote:
- quote -

In Virginia you pay property tax on motor vehicles, with
some exemption for personal use.

--
Frederick E. Jorden http://Tax-Accounting-Payroll.com
7825 Midlothian Tpk - 207 Richmond, VA 23235-5247
EMAIL knowtax[at]bigfoot.com
(804) 320-6210 FAX (804) 320-6211

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Lord Salt wrote:
- quote -

But if there is a sport sponsorship arrangement the cost of
the cycle may be deductible depending on the terms of the
contract. Alternatively, one could view the cycle as a post
on which a sign is mounted. In some cases a post could be
deductible.

--
Frederick E. Jorden http://Tax-Accounting-Payroll.com
7825 Midlothian Tpk - 207 Richmond, VA 23235-5247
EMAIL knowtax[at]bigfoot.com
(804) 320-6210 FAX (804) 320-6211

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Frederick Jorden wrote:

- quote -

I question the zoning board's authority to decide that
it's not a motor vehicle if it's drivable. It seems to
me that if motor vehicle taxes and registration are paid,
it's a motor vehicle, regardless of use.

I've been known to use my car as a storage unit and
as a bedroom. Does that mean I need to pay local
property taxes?

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"Seth Breidbart" <sethb[at]panix.com> wrote
- quote -

No, ordinary and necessary business use.

Unless he races the bike, and calls it
advertising..........it has to be used in the business.
Else I'm gonna stick a CPA sticker on everything I own and
deduct it........

--
Paul A. Thomas, CPA
Athens, Georgia
taxman at negia.net

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Frederick Jorden <knowtax[at]bigfoot.com> wrote:
- quote -

Certainly not the whole bicycle. If the bicycle has no
specifically related business purpose without the sign, then
there is no deduction. It's a personal bicycle.

Even if it's a professional racing bicycle, then its
business purpose is rated to the business of professional
bicycle racing, again, having nothing to do with being a
doctor, and it would be deductible from professional bicycle
racing income, not from the doctor's income.

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Paul <taxman[at]negia.net> wrote:
- quote -

$0.33/mile? I wish.

Seth

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- quote -

Let me apologize if my (partially) flippant answer didn't
accurately reflect its intent. What my answer meant was
this - if there were a legitimate deduction for advertising
via a bike, the allowability of the deduction was the result
of its legitimacy, and not necessarily to the specificity of
the item used. For example, advertising is deductible.
This is true whether the advertising is done in the phone
book, on TV, the Radio, flyers put on car windshields or
whatever.

Use of any asset in a trade or business is deductible - its
called depreciation. If a construction company has a $100K
dump truck, they get to depreciate that truck over its
useful life and claim a deduction each year. If its
financed, they also get to claim the interest paid. If
Lance Armstrong is racing professionally on a $100K bicycle,
Lance gets to depreciate that bike over its useful life and
claim a depreciation deduction each year. If Lance financed
the bike, he also gets to claim the interest paid.

On the other hand, if I'm a doctor who thinks dump truck are
really cool, I can buy one and I can even put stickers on it
advertising my practice. However, this will NOT make the
cost of the dump truck deductible, only the cost of the
stickers for advertising. If I'm an attorney and I think I
ride bicycles just as good as Lance Armstrong I can buy the
same bike he rides and I can put stickers on it advertising
my practice and I might even ride the bike to work. But
again, I'd only get to deduct the cost of advertising, the
advertising doesn't allow the deduction of the bike.

I have ignored the issues of listed property and business
usage limitations for obvious reasons, but you should get
the point. The issue is the same for a car as it is for a
bike - if the expense qualifies as a legitimate deduction,
then you get the deduction, if it doesn't, you don't.

Gene E. Utterback, EA

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- quote -

But if the way in which the vehicle is used changes it into
a billboard. We had a local Realtor who had huge signs, for
her business, plastered all over it and she parked it in a
strip mall. The sign indicated the van was available for use
by local charities gratis. The local zoning board ruled it
was not a motor vehicle but a sign.

--
Frederick E. Jorden http://Tax-Accounting-Payroll.com
7825 Midlothian Tpk - 207 Richmond, VA 23235-5247
EMAIL knowtax[at]bigfoot.com
(804) 320-6210 FAX (804) 320-6211

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miskowski[at]gmail.com (Laz Miskowski) wrote:

- quote -

Unless the doctor can justify the bicycle as ordinary,
reasonable, and necessary for his business, then, no, it's
not deductible. You are correct. Putting an advertising
logo on *anything* does not make it a business expense.

I find it difficult to see a direct business connection
between a doctor and a bicycle. Maybe if the doctor makes
house calls, or uses the bicycle to deliver test samples or
results ....

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- quote -

Well, based on my search of the archives of this group, it
appears that only the cost of the actual sticker and such
would be deductible. Of course, business vehicles are
deductible in the usual ways, but applying a sticker to your
or my car or a business car appears to give no tax
advantage. Of course, I am no expert. The question is if
this is different for something like a bicycle, where unlike
a car, there are likely no specified
laws/regulations/interpretations. At least that is my vague
understanding.

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- quote -

I'm guess that this particular bike was fairly expensive,
since it was used on multiple hundreds of miles kind of
rally. For argument's sake, let's say it was 2000$.

The business use of the bike is soley for advertising the
business. The argument would be "every time I am out and
about on my bike, at rallies, etc. I am advertising my
practice."

In my particular case, I am wondering if I can get a bike
that advertises my wife's business (she is self-employed)
and then deduct the cost of the bike...

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"Laz Miskowski" <miskowski[at]gmail.com> wrote

- quote -

That he wasn't audited on that issue doesn't mean it's
a valid deduction.

- quote -

No, it would not be.

- quote -

I would venture to say that the same rules apply to a bike
as they do with any other business expenditure. Does it
pass the Ordinary and Necessary to the business test.

My gut instinct says no.

--
Paul A. Thomas, CPA
taxman at negia.net

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miskowski[at]gmail.com (Laz Miskowski) wrote:

- quote -

What business purpose is served by the bike? When was the
last time you saw a doctor making house calls on his bike?
Or even in his car? I think that the cost of applying the
decals to the bike might be deductible as an advertising
expense, but not the cost of the bike itself.

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"Gene E. Utterback, EA" <eagent[at]alliancetax.com> wrote:
[snip]
- quote -

Can't deduct the car, just the cost of the advertising.
Placing advertising on a car does not turn nondeductible
vehicle expenses into deductible ones, despite many attempts
to the contrary. See, for example,
http://www.toolkit.cch.com/text/P07_2820.asp

--
Chris Green

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"Gene E. Utterback, EA" <eagent[at]alliancetax.com> wrote:
- quote -

[snip]
- quote -

Can't deduct the car, just the cost of the advertising.
Placing advertising on a car does not turn nondeductible
vehicle expenses into deductible ones, despite many attempts
to the contrary. See, for example,
http://www.toolkit.cch.com/text/P07_2820.asp

--
Chris Green

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Laz Miskowski wrote:

- quote -

I know the NASCAR folks take a deduction for the signs on
the sides of their cars. I guess a race bike is the same
thing.

--
Frederick E. Jorden http://Tax-Accounting-Payroll.com
7825 Midlothian Tpk - 207 Richmond, VA 23235-5247
EMAIL knowtax[at]bigfoot.com
(804) 320-6210 FAX (804) 320-6211

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"Laz Miskowski" <miskowski[at]gmail.com> wrote:

- quote -

Why not - if it works for the bike, why wouldn't it work for a car?

Gene E. Utterback, EA

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- quote -

I don't really know, but are we talking about a fairly
expensive bike or the garden variety? And what is the
business use of the bike?

Helen, EA in PA
50 miles, 3 days, 1 cause - Multiple Sclerosis Challenge Walk for the Cure
October 1 to October 3, 2004
Donate on-line at www.msandyou.org

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I know of a doctor that has a bicycle with logos on it that
advertises his practice. He deducted the bike.

I know this would not be permissible with a car. Is this
legal with a bike?

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