Car Give Away

[quicksam]

I am considering purchasing a car and giving it away as advertising for my SCorp business. I would buy the car now and give it away next tax season. A few months before tax season I would drive the car around with advertising "Win this Car".

What would be everyones opinion on how to handle the accounting of this purchase? Should I purchase personally and then do the transfer thru the business when I give it away or should I go ahead and purchase thru Corp and then give it away. Keep in mind, I plan on driving it with the advertising on it.

Thanks

[Koss]

Car purchase

Is your S-Corp on a calendar year?

Assuming your S-Corp has a calendar year, why not purchase the car now, so you can take some depreciation and other expenses on the 2008 tax return?

Well, here's one reason maybe why not--

If you bought it now, and used it until the date it is given away, what would the business use percentage be?

It almost sounds too creative. Can you sustain the assertion that it's 100% business use if the car is effectively advertising your business whenever you are driving it?