means test question 23

[bill123]

My truck loan is for the next 4 years at $320 a month,through citizens bank.My question is, can I claim a deduction,even though its a loan and not a lease?Also, question 42 on the means test refers to secured debts,may i claim my monthly truck payment again?

[bkinfoseeker]

My truck loan is for the next 4 years at $320 a month,through citizens bank.My question is, can I claim a deduction,even though its a loan and not a lease?Also, question 42 on the means test refers to secured debts,may i claim my monthly truck payment again?

1) Figure out the amount on line 42. $320*48 months/60 months (Should be about $256 depending on the exact months left)
2) On line 23 enter the Ownership Expense Allowance of $471 (after Feb 13) on line (a).
3) Enter your loan 60 month average from line 42 into line (b).
4) Subtract the two and that is remaining your transportation allowance. (You should have about $215 there)

Essentially you get $471 whether you use it or not but your loan payment is not figured twice because you subtract it out of line 23.

[bill123]

Thank You,bkinfseeker