When you know the tax rules related to business mileage, you:
- Protect yourself in the event of an I.R.S. audit, and
- Pay less in taxes
These Business Mileage Tax Tricks Help You Save
Take Brandon, for example. Before he knew the mileage rules, he deducted 30 percent of his S.U.V.’s cost. Once he learned the rules, he deducted 92 percent.
Or look at poor Mark—he lost almost all his vehicle deductions in an I.R.S. audit.
Be like Brandon. Here’s how:
- Know the business mileage rules.
- Document your mileage.
- Create an administrative office for your business in your home.