![]() ![]() When you use the standard mileage deduction, you also don’t have to keep track of gas and maintenance receipts in addition to your mileage log. total mileage on the vehicle.įYI: Using the mileage deduction usually means you can deduct more from your business income than you would if you had deducted all of your individual car expenses. The IRS verifies the percentage of your work-related driving based on a mileage log (that you’ll need to keep up throughout the year) to see the percentage of work-related mileage vs. ![]() For example, if you drive your car 30% of the time for work and 70% of the time for personal use, you can only deduct 30% of your overall vehicle expenses on your taxes. If you drive the same vehicle for both personal and work trips, you can only deduct the cost of the expenses for the percentage of time you’re driving the car for work. What kinds of car expenses could you deduct? Things like: You can either deduct the standard mileage rate-currently, $0.585 cents per mile for 2022-or you can itemize and deduct all of your car expenses. Keep in mind that you can’t deduct both car expenses and mileage at the same time! The IRS standard deduction rate for mileage is estimated as the average cost to use your car for work purposes. Alternatively, you can keep track of your vehicle expenses and deduct those from your taxes instead. This includes miles that you drive to your first delivery pickup, between deliveries, and back home at the end of the day. One of the best tax deductions for Doordash drivers-or any self-employed individuals-is deducting your non-commuting business mileage. ![]()
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