.svg)
.svg){kind=icon}
.svg)
Tax Court Shows Why Real Mileage Logs Are Important
A taxpayer who deducted expenses attributable to the business use of his vehicles took a wrong turn before the Tax Court. Ultimately, he couldn’t back up his claims (Eze, TC Memo 2022-83, 8/4/22).
Generally, you can deduct costs relating to the business use of your vehicle, subject to certain rules and limits. However, you must meet strict substantiation requirements spelled out by the IRS. Notably, you must keep a contemporaneous diary or other logs of your business driving activities, including the amount of business mileage for each business use; the total mileage for the tax year; the date of each business use; and the business purpose of each business trip.
To read the full article, click here.
%20(1).avif)
Peter Demian is a highly-rated CPA specializing in accounting and tax services for individuals and businesses across 49 states. He offers expertise in tax strategies and assistance with IRS settlements.
