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This video explains the business tax deduction limitations for vehicles leased through a business. Business owners can lease vehicles under the company's name, but must be aware of certain deduction limitations on their tax returns. Two main limitations apply: the apportionment of business versus personal use, and the total cost of lease payments. When a vehicle is used for both business and personal purposes, only the portion attributed to business use is deductible. For instance, if a business owner uses a vehicle 75% for business and 25% for personal use, only the 75% of the lease payment is deductible, while the remainder is a non-deductible expense.