Instructions For Form 2106 - 2016 Page 5
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9service on the date you start using it
Section C—Actual Expenses
Line 16. If you don't know the total
for business.
actual miles you used your vehicle for
Line 23. Enter your total annual
commuting during the year, figure the
Line 12. Enter the total number of
expenses for gasoline, oil, repairs,
amount to enter on line 16 by
miles you drove each vehicle during
insurance, tires, license plates, and
multiplying the number of days during
2016.
similar items. Don't include state and
the year that you used each vehicle
local personal property taxes or
Change from personal to
for commuting by the average daily
interest expense you paid. Deduct
business use. If you converted your
round trip commuting distance in
state and local personal property
vehicle during the year from personal
miles. However, if you converted your
taxes on Schedule A (Form 1040),
to business use (or vice versa) and
vehicle during the year from personal
line 7. Employees can't deduct car
you don't have mileage records for the
to business use (or vice versa), enter
loan interest.
time before the change to business
your commuting miles only for the
use, enter the total number of miles
Line 24a. If during 2016 you rented
period you drove your vehicle for
driven after the change to business
or leased instead of using your own
business.
use.
vehicle, enter the cost of renting. Also,
Section B—Standard Mileage
include on this line any temporary
Line 13. Don't include commuting
Rate
rentals, such as when your car was
miles on this line; commuting miles
being repaired, except for amounts
You may be able to use the standard
aren't considered business miles. See
included on line 3.
mileage rate instead of actual
the
line 15
instructions for the
expenses to figure the deductible
definition of commuting.
Line 24b. If you leased a vehicle for a
costs of operating a passenger
term of 30 days or more, you may
Line 14. Divide line 13 by line 12 to
vehicle, including a van, sport utility
have to reduce your deduction for
figure your business use percentage.
vehicle (SUV), pickup, or panel truck.
vehicle lease payments by an amount
Change from personal to
called the inclusion amount. You may
If you want to use the standard
business use. If you entered on
have an inclusion amount for a
mileage rate for a vehicle you own,
line 12 the total number of miles
passenger automobile if:
you must do so in the first year you
driven after the change to business
place your vehicle in service. In later
Passenger Automobiles
use, multiply the percentage you
years, you can deduct actual
(Except Trucks and Vans)
figured by the number of months you
expenses instead, but you must use
drove the vehicle for business and
And the vehicle's
straight line depreciation.
divide the result by 12.
fair market value on
If you lease your vehicle, you can
The lease term
the first day of the
Line 15. Enter your average daily
began in:
lease exceeded:
use the standard mileage rate, but
round trip commuting distance. If you
only if you use the rate for the entire
2016
$ 19,000
went to more than one work location,
. . . . . . . .
lease period (except for the period, if
figure the average.
2015
19,000
. . . . . . . . . . . . . . . . . .
any, before January 1, 1998).
2014
19,000
. . . . . . . . . . . . . . . . . .
Commuting. Generally,
If you use more than two vehicles,
2013
19,000
commuting is travel between your
. . . . . . . . . . . . . . . . . .
complete and attach a second Form
home and a work location. However,
2012
18,500
. . . . . . . . . . . . . . . . . .
2106, page 2, providing the
travel that meets any of the following
If the lease term began before 2011, see Pub. 463
information requested in lines 11
conditions isn't commuting.
to find out if you have an inclusion amount.
through 22. Be sure to include the
You have at least one regular work
You may have an inclusion amount
amount from line 22 of both pages in
location away from your home and the
for a truck or van if:
the total on Form 2106, line 1.
travel is to a temporary work location
in the same trade or business,
Trucks and Vans
You can also deduct state and local
regardless of the distance. Generally,
personal property taxes. Enter these
a temporary work location is one
And the vehicle's
taxes on Schedule A (Form 1040),
fair market value on
where your employment is expected
line 7. (Personal property taxes aren't
The lease term
the first day of the
to last 1 year or less. See Pub. 463 for
deductible on Form 1040NR.)
began in:
lease exceeded:
more details.
The travel is to a temporary work
If you are claiming the standard
2016
$ 19,500
. . . . . . . . . . . . . . . . . .
location outside the metropolitan area
mileage rate for mileage driven in
2015
19,500
. . . . . . . . . . . . . . . . . .
where you live and normally work.
more than one business activity, you
2014
19,500
. . . . . . . . . . . . . . . . . .
Your home is your principal place of
must figure the deduction for each
2013
19,000
. . . . . . . . . . . . . . . . . .
business under section 280A(c)(1)(A)
business on a separate form or
2012
19,000
(for purposes of deducting expenses
. . . . . . . . . . . . . . . . . .
schedule (for example, Form 2106,
for business use of your home) and
Schedule C (Form 1040), Profit or
See Pub. 463 to figure the inclusion
the travel is to another work location in
Loss From Business, Schedule C-EZ
amount.
the same trade or business,
(Form 1040), Net Profit From
Line 25. If during 2016 your employer
regardless of whether that location is
Business, Schedule E (Form 1040),
provided a vehicle for your business
regular or temporary and regardless
Supplemental Income and Loss, or
use and included 100% of its annual
of distance.
Schedule F (Form 1040), Profit or
lease value in box 1 of your Form
Loss From Farming).
Instructions for Form 2106 (2016)
-5-
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