Do you want to or have you taken a mileage deduction?

The rules for mileage deduction?

The IRS is starting to come down hard on mileage deductions. If audited, records must reflect the amount of miles, time and place the driving took place, the business purpose and the business relationship to the taxpayer as shown on their Table 5.2 below.

Table 5-2. Daily Business Mileage and Expense Log Name:

Date Destination (City, Town, or Area Business Purpose (Who/What) Odometer Start Odometer End Miles this Trip

If mileage appears to be excessive, a copy of the mileage log will need to be provided.

  • Make and model of car
  • Date the vehicle was placed in service.
  • Odometer reading on the first day of the year.
  • Ending odometer reading on the last day of the year.
  • Total business miles
  • Was the vehicle leased? Yes / No
  • Mileage log that keeps all business miles logged
  • Parking fees, tolls and interest are expenses that can be added on top of the standard mileage rate