Skip to main content
April 2, 2020
Question

Food Delevery LLC?

  • April 2, 2020
  • 1 reply
  • 0 views

I have begun delivering food full time. The pay is not taxed and I'm using my own vehicle. It averages about 500.00 weekly. Woukd it be beneficial for me to form a LLC and make my vehicle a company vehicle?

1 reply

SusanY1
April 2, 2020

There may be some legal benefits, but from a tax standpoint if you are the only owner of the LLC it would be treated the same way - as your LLC would be known as a "disregarded entity."

 

For tax purposes, your vehicle is already a "company vehicle" and your miles are already business miles. 

 

Be sure that you are keeping track of the miles you are driving while delivering as well as all of your other business expenses for your taxes next year. Everything that you spend money on for the business of delivering food has the potential to lower your tax bill next year - bags, supplies, miles, car washes, uniforms, name tags, advertisements, etc.

 

You may want to take a look at this article for some great tips: Top Tax Write-offs for the Self-Employed.

 

 

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"