Auto Mileage Deduction form 1065 LLC

[photoman]

I have a client that him and wife own 50% each of an LLC. Last year the tax preparer gave them the standard mileage deductions as other expense on Line 20 of the 1065. He owns the vehicle individually (not owned by LLC) . I was thinking that a partnership could not take the standard milage deduction since the car is owned individually. It was suggested that I should not take the auto deduction on the 1065 and on the K-1 of his 1040 take it on lines 13 to 20 as a unreimbursed partnership expense and then it would carry over to schedule E.
Doing it this was the taxpayer owes more SE Tax but is this the correct way of doing this.
Any Comments

[Bees Knees]

Yes, taking the standard mileage rate deduction as an unreimbursed business expense is the correct way to take it, provided the partnership agreement says the partners are personally responsible for their own business mileage.

Unreimbursed expenses deducted on the Schedule E should ALSO reduce SE tax. There should be a worksheet in your software that allows you to adjust SE taxes of a partner for these expenses. See TTB page 20-7.

[photoman]

Thanks

Much appreciated