S Corp leased auto

[Jocelyn]

Please confirm that this is the correct procedure to report personal use of an auto leased by an S Corp to a 50% shareholder. Shareholder uses the vehicle 45% personally, so that 45% of the amount derived from the annual lease value table is included in his W-2. The S Corp then deducts 100% of the lease payments as well as the other auto expenses. This deduction is then reduced by the lease inclusion amount which becomes a reconciling item on Sch M-1. Is this the correct way to report? Thank you.

[KJ Judd]

There is also an amount added to the shareholder's W-2 for each mile. I think it's something like $.055/mi.

And the vehicle needs to be in the S corporation's name, not the shareholder.