Can a sole proprietor buy a car?

A sole proprietor cannot buy a car for "the business" in the same way a registered company can. However, if you do buy a car principally for the use of your business, you may be able to claim all the expenses related directed to business use of your car. This can be tricky because unless you leave the car at work and only ever use it for work purposes, most sole proprietors end up mixing business and personal use. As such, it’s absolutely vital to fully document every business use of such a car to claim tax write-offs. Talk to your accountant or taxation agent for more details.