- 1). Start a business or start working as an independent contractor.
- 2). Use your leased car as a part of your business. For example, use it to drive to and from meetings with clients.
- 3). Catalog the time you spend in the car and the amount you spend on maintenance, gas and other associated expenses.
- 4). Calculate how much time you spend in the car for business reasons in relation to the total amount of time you spend in it. For example, if in a month you spend 100 hours in the car for business reasons and 200 hours for personal reasons, your proportion of business use is one-third.
- 5). Multiply your monthly lease payments by 12 to get a yearly total.
- 6). Multiply the total lease payment by the proportion you calculated in step 4. For example, if you spend one-third of your time in the car for business purposes and two-thirds of your time grocery shopping, ferrying kids around and the like, then you can subtract one-third of your total lease expenses from your taxable income.
- 7). Total your fuel and maintenance costs for the car, and subtract the same proportion of those costs from your taxable income.
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