re: S corp car question..

We have a company car. We use it for personal use. We have a commercial policy that allows personal use, but it is much more expensive than a personal insurance policy. I recently spoke to my CPA with a similar concern. He recommended my payroll company add a line item in the W2 to account for the car. We estimated personal use at $1000/month.

"It would be taxable earnings that would be listed as “personal use of company car” on box 14 and would be added to box 1, 3, and 5 of the W-2."