The government offers a tax deduction for business-related travel expenses, and one of the key pieces of evidence you’ll need to qualify for this deduction is a detailed record of your mileage. Fortunately, there are a number of ways to keep track of your mileage so that you can get the most out of your deduction.
The most important thing to remember is that you need to keep track of your mileage from the beginning of the year. The IRS does not allow you to deduct travel expenses retroactively, so it’s important to start tracking your mileage as soon as possible.
One of the simplest ways to track your mileage is to use a mileage tracking app. There are a number of apps available that will track your mileage and automatically generate a report that you can use for your taxes.
If you prefer not to use an app, you can also track your mileage manually. To do this, you’ll need to keep a mileage log in your car. Every time you get in your car, write down the starting mileage. When you reach your destination, write down the ending mileage. At the end of the year, you can total up your mileage and use it for your deduction.
Another option is to use a GPS device to track your mileage. This can be a great option if you’re forgetful about keeping a manual log, or if you have a long commute and don’t want to hassle with logging your mileage every day.
No matter how you choose to track your mileage, be sure to keep detailed records. The IRS may require you to provide proof of your travel expenses, so it’s important to have a detailed record that you can provide if necessary.
The IRS requires that you keep track of your mileage if you want to deduct it as a business expense. Here are some tips on how to do that:
1. Get a mileage tracker app.
There are many different apps out there that can track your mileage for you. This can be a great way to make sure you don’t forget to track your mileage, and it can also help you keep track of other business expenses like gas and parking.
2. Use a notebook or spreadsheet.
If you prefer to not use an app, you can also keep track of your mileage in a notebook or spreadsheet. This can be a bit more work, but it can be helpful to have all of your business expenses in one place.
3. Keep track of your odometer reading.
Every time you start a new trip, make sure to write down your odometer reading. This will help you know how many miles you’ve driven for business purposes.
4. Make sure to keep receipts.
If you use your personal vehicle for business purposes, you can deduct the cost of gas and other business-related expenses. Be sure to keep your receipts so that you have a record of your expenses.
5. Keep track of your business mileage.
If you use your personal vehicle for both business and personal purposes, you can only deduct the business-related mileage. Be sure to keep track of your business mileage so that you don’t accidentally deduct your personal mileage.
By following these tips, you can make sure that you keep track of your mileage for tax purposes. This can help you save money on your taxes and make sure that you are compliant with the IRS requirements.
