Did you know that often times your small business is eligible for a mileage tax deduction?
What’s Required When I’m Tracking Mileage For Taxes?
According to the IRS, your mileage log must include a record of:
- Your mileage
- The dates of your business trips
- The places you drove for business
- The business purposes for your trips.
The IRS also wants to know the total number of miles you drove during the year for business, commuting, and personal driving other than commuting.
If you have a vehicle that gets used in both your business and your personal life (whether you or the business technically owns the vehicle), then some of its cost can be recorded as a business expense.
You will want to keep an accurate, up to date mileage log and have that information to give to your CPA for your tax return. Keeping accurate records is also important in case you get audited.
BluSavvy has a mileage log as part of the software, for easy documentation. Keep your mileage log up to date and then print for your tax records at the end of the year.
Sign up with BluSavvy today to get started saving money on your taxes, click here.