I am pretty sure this plan the client has will not end well for the business or employee but in case I am missing something I would like some thoughts from others if possible.
S-Corp owned 50/50 by two people. They have an employee (who is not an owner) that they are wanting to purchase a vehicle for. Per my understanding this will be solely for the personal use of the employee.
Can the company write off the cost of the vehicle as well as the repairs, maintenance, insurance, and other ownership costs as normal if they include the value of the personal use in the employee's W2?
If they can write off the vehicle expenses, can they take section 179 on it?
I am waiting to hear back on details as to why they want to go this route as the only information I have currently is that they want to do this for one of their employees.