Can i deduct mileage

Create a personalised ads profile. Select personalised ads. Apply market research to generate audience insights. Measure content performance. Develop and improve products. List of Partners vendors. Your Money. Personal Finance. Your Practice. Popular Courses. Key Takeaways There are two methods of claiming the mileage deduction.

To use the standard deduction, you must keep a log of the miles you drive for work. To use the actual expense method, you must save all the receipts of expenses related to driving for work. Article Sources. Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate.

The per-mile rate for is 56 cents for business miles driven. For a list of current-year and prior-year mileage rates see "Standard Mileage Rates. If you are self-employed, you may either deduct your exact expenses or use the optional standard mileage rate to calculate deductions. Illinois CPA Neil Johnson recommends you keep meticulous records throughout the year to ensure you are prepared when tax time arrives.

The more information the better, says Johnson, who has adopted the nickname given him by one of his clients and is now known as "the Tax Dude. However, the distance driven between each client can be written off.

Also worth noting: you may deduct miles driven to odd jobs such as babysitting, pet care or lawn work. TurboTax Self-Employed uncovers industry-specific deductions. Some you may not even be aware of. Find more tax deductions so you can keep more of the money you earn with TurboTax Self-Employed.

Business Use of Vehicles. Taking Business Tax Deductions. If you qualify to use both methods, you may want to figure your deduction both ways before choosing a method to see which one gives you a larger deduction. To use the standard mileage rate, you must own or lease the car and:. To use the standard mileage rate for a car you own, you must choose to use it in the first year the car is available for use in your business.

Then, in later years, you can choose to use the standard mileage rate or actual expenses. For a car you lease, you must use the standard mileage rate method for the entire lease period including renewals if you choose the standard mileage rate. Normal commuting from your home to your regular workplace and back is not deductible. You may deduct business mileage only if you are traveling to and from a temporary work location, from one work location to another, to meet with a client, to a conference, etc.

Expenses for primary transportation to medical care facilities that qualify as medical expenses are:. Instead of using the standard mileage rates, you may use the actual costs of operating your car. You will need to keep accurate records.

Qualified expenses for this purpose include gasoline, oil, tires, repairs, insurance, tolls, parking, garage fees, registration fees, lease payments, and depreciation licenses. Keep records of your deductible mileage each month with a simple journal or mileage log. For your convenience, we have prepared a downloadable mileage log which you can print and fill out each month. You can use your mileage information to help you complete and e-File your Tax Return on eFile.

Then, the app will calculate your mileage rate for you and report it on your return. Have more questions about deductible mileage rates and expenses? Ask an eFile. Get Your Tax Refund Date. What is DocuClix? Security About eFile. Where Is My Refund? How to Check Refund Status efile.