Not providing legit tax advice, I am not a tax professional. If your business income is projected to be less than around 30k, keep it to an LLC or Sole Proprietorship; you can change structure in the future. If you do go with an LLC (which I'd recommend over Sole Prop), get a business bank account to keep your personal and business expenses separate right away. This way, if someone is suing the business, they're not suing you, they're suing the LLC. If they can prove funds were intermingling they have grounds to take from you too. Additionally, keep in mind that the LLC can have an EIN (if you have any employees, or need to pay excise tax for any reason, you'll need one). If you incorporate you've got a lot of other rules, regulations, and tax (plus higher accounting fees) to compensate for (payroll/payroll tax requirements, reasonable compensation, etc..) depending on the structure (C or S). Plus, under 30k, tax-wise it doesn't make as much sense. Also, they're separate tax returns from your personal, and the prep fees are high (depending on, you're looking at 350-600 bucks for a brand new S Corp return without much going on). Also, if you don't do your own books you'll have to pay for that too. Good P&Ls are required to prep the return. So with that being said, if it is a business expense, any business structure (Sole Prop, LLC, C-Corp, S-Corp, or Partnership) can claim it as a deduction. The trick is figuring out the best way to claim said deduction. The Federal Section 179 deduction is a way to write it off upfront, and I've heard that it's better than taking standard mileage deductions for people who do the whole taxi/ride-share thing. This is a question for your accountant or tax pro. In addition to the aforementioned, you'll want to look into first time business credits (you'll be able to write off startup costs like one time up to 5k if the cost was under 50k last I checked), as well as a credit for buying an electric vehicle in general (I think some states still offer depending on the EV, but I believe they were phased out on Fed Taxes - doesn't hurt to check). It's been a long time since I've played with accounting/taxes so this info may not be 100% as tax law changes so much these days, but they are good talking points to get started with a tax pro/accountant (not H&R Block - they generally have no clue, and there are a lot of lazy firms who won't try to get the best for you. Make sure you interview accountants well, and do not hire one that charges by the hour).