Running a business means watching every dollar, and if you use your personal vehicle for work, you might be leaving money on the table. Leasing your personal car to your business is a great tax-savvy solution to save more money. At Apple Leasing, we help clients discover smart leasing strategies every day. Here's how this one could work for you.

1. Why Lease Your Personal Vehicle to Your Business?

Leasing your car to your business allows your company to reimburse you for its use, or write off a portion of the lease expense without transferring ownership or buying a new vehicle. This can benefit you in two key ways:

  • Tax Deductions: You may be able to deduct lease payments, mileage, and operating expenses.

  • Liability Protection: Keeping the car in your personal name may reduce liability risks if your business is ever sued.

Whether you’re self-employed or run a growing business, it can be a financially smart move to lease a car for business when set up properly.

2. Set Up a Lease Agreement

You, as an individual, can start leasing your car to your business, especially if your business is a separate legal entity, like an LLC or S-corp. To make it legit in the eyes of the IRS:

  • Draft a formal lease agreement between yourself and your business. This outlines terms like monthly payment, mileage limits, and maintenance responsibilities.

  • Charge a fair market rate for the lease. This should be similar to what a leasing company would charge for the same vehicle. If you’re not sure what a fair rate is, reach out to an Apple Leasing specialist to help guide you.

3. Track Business Use Accurately

To unlock the tax benefits of leasing a car for business, documentation is everything. Whether you choose to deduct based on standard mileage or actual vehicle expenses, make sure to:

  • Keep a detailed mileage log

  • Track fuel, maintenance, insurance, and registration

  • Separate personal and business use

4. Consult a Tax Professional

Tax law can get tricky fast. It’s important to have a professional help you get all the tax benefits of leasing a car for business. A qualified accountant can help you:

  • Determine if leasing makes more sense than taking mileage deductions

  • Understand how much your business can write off

  • Ensure you’re staying IRS-compliant with your lease setup

If you're not currently working with a CPA, it's worth finding one who specializes in small businesses or self-employed clients.

5. Let Apple Leasing Help You Simplify the Process

At Apple Leasing, we specialize in making car leasing flexible and affordable. Whether you’re leasing a new vehicle for your business or looking to structure a custom lease agreement, we can help you find the right fit. Our EZ Lease program gives you full control over your lease terms. Reach out to us to find out how you can start leasing your personal car to your business and save on taxes now.