434
Mileage Rate: Deemed Depreciation, Adjusted Basis of Vehicle
To assist in determining the addback to household income and determining when a vehicle’s basis is reduced to zero.
Year:
Year:
Year:
Year:
Year:
1. Business miles for current year
Year:
2. Personal miles for current year
3. Total miles for current year
4. Cumulative business miles
(line 1 for current year + line 4 for prior year)
5. Cumulative personal miles
(line 2 for current year + line 5 for prior year)
6. Cumulative total miles
(line 3 for current year + line 6 for prior year)
7. Cumulative business percentage
(line 4 divided by line 6)
%
%
%
8. Depreciation rate for current year
(see chart below)
•
•
•
•
9. Maximum depreciation for current year
(line 1 x line 8)
10. Original vehicle cost



(enter amount of original cost in each column)
11. Business basis (cumulative)
(line 7 x line 10)
12. Prior depreciation (cumulative)
(add lines 12 & 14 of prior year’s column)
0
13. Balance of Adjusted Basis
(subtract line 12 from line 11; not less than zero)
14. Deemed depreciation for current year *
(lesser of line 9 or line 13)
* Required addback to household income for Schedule H and FC
%
%
%
•

•

“Our reading is that the business miles subject to depreciation would be calculated each year based on business cost basis for that year (cost x business % calculated on a cumulative basis), minus depreciation allotted in prior years.
If business percentage fluctuates from year to year, it may be possible to have ‘depreciation miles’ some years, then none, then more ‘depreciation miles’ in a subsequent year.” Wisconsin Department of Revenue
Year
92-3 94 95 96
97
98
99
2000 2001 2002 2003 2004
2005
2006 2007
2008
2009
Business Mileage Rate 28¢ 29¢ 30¢ 31¢ 31½¢ 32½¢ 32½¢/31¢ 32½¢ 34½¢ 36½¢ 36¢ 37½¢ 40½¢/48½¢ 44½¢ 48½¢ 50½¢/58½¢ 55¢
11½¢ 12¢ 12¢ 12¢ 12¢ 12¢
12¢
14¢ 15¢ 15¢ 16¢ 16¢
17¢
17¢ 19¢
21¢
21¢
Depreciation
2010
2011
50¢ 51½¢/55½¢
23¢
22¢