Automobile Rental

[Bob Jablonsky]

I have a family that I’m working with that has been under a Federal Tax Lien for several years. They’re very heavily leveraged. They have one older vehicle that has a title loan against it. Their second vehicle, for over a year now, has been a rental car. They don’t own the vehicle and they don’t have a long-term lease. Listening to the video’s, my understanding is that it can be included on the 433 if owned and leased or has a loan. My thought is that a rental, even a long-term rental, probably does not qualify for a vehicle cost, but I wanted to get some feedback. Is this a vehicle cost that can be included on the Form 433? Thanks.

[Bob Jablonsky]

Just to add to my own post, if the rental cost is not eligible, is a cost for maintenance available?

[Eric Green]

Bob, it has not come up, but I would claim the rent as it is necessary, and the IRS cannot expect someone to get a lease or a loan with the tax lien against them, and the rent is necessary for the family to generate income.

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