Can I write off my car payments?

If you use your car for business purposes, you may be able to deduct car expenses. If you use your car for both business and personal purposes, you must divide your expenses based on actual mileage. You can deduct the business portion of your car lease payments as a business expense. However, if you use the car for both business and personal purposes, you may need to divide the lease payment between personal use (which is not deductible) and business use (which is deductible). For example, if you use your car 60% of the time for business, you can deduct 60% of the lease payment. If you own the car, you can't deduct your car payments, but you may be able to deduct depreciation, which is a measure of how much of a car's value you've used over time.