Mileage Deduction question

[Illyria]

I was told by a fellow therapist, that when tracking mileage for outcalls (or trips to IC locations), that only the mileage TO the location are deductible. I always assumed I should track the ROUND TRIP? :shock:

How do y'all track your mileage? (btw, I was just licensed in March of this year, so I'm just coming up on the end of my first year in business, and haven't actually done taxes as an MT yet).

I did a search and it doesn't look like this topic has been addressed in the past on the forum ... sorry if I missed something!

 

[pinkybunny9]

Round trip is correct. We are to track from the last stop before the location, if we're running errands, rather than counting all our errands as part of mileage for work. My accountant said if I'm going to Walmart and the post office and then to my outcall location, I should track my mileage from the post office to the location, then home - if I go straight home. If I were to go back to the post office, that is where the mileage tracking ends - done working.

I have found a much easier way, though, and it was acceptable to the accountant. I google-map the location and get the round trip mileage from home and record the dates I make that trip, using that mileage.

 

[ollie]

Thanks for the reply, Sharon! I was planning on handling it the way you have done, with the google-map mileage, since many of my locations are used repeatedly, and I don't trust myself to remember to look at the odometer at the beginning and end of each trip (but I DO have records on each location I've been to, since I obviously keep records on sessions!).

It's my understanding that mileage running errands FOR the business (going to Walmart to buy sheets, for example) are deductible also, though I haven't been tracking them this first year.

 

[Nirvana Veggie balls]

Roundtrip is deducted. ANYTHING that is related to your business can be deducted, like going to the bank or store to buy supplies. I pay my rent in person every month so I deduct the mileage to the landlord's office.
I do the same thing - I Mapquest my trips. I keep a spreadsheet on my computer.

 

[Ciao Bella is Love Drunk]

Yes, any mileage that is business related is deductible. Sorry I didn't clarify. I was talking about personal errands not counting as part of the trip.

 

[Fancy Pants]

Heidi, you probably want to meet with a CPA to find out exactly what can be deducted and how to keep track. Outcalls are a deduction and so is things like going to do laundry or purchase office supplies, but there are a couple things you think you can deduct in travel but can't so it's always best to meet with a professional who can give you the accurate information.

 

[Kardinal]

Thanks for the info from the Wisconsin ladies!

Kathryn, I do intend to have the taxes prepared by a tax professional, at least the first year, but want to have my paperwork as organized as possible to keep the cost of it down (though I do realize even THAT cost is deductible), but thanks for the caution. Just out of curiosity ... are there any specific things you can share that you thought would be deductible that weren't?

 

[rachelle_inhighheels]

Hmmm, I can't remember the exact details as it was about six years ago when I finally started my own business. I thought I could deduct all mileage pertaining to business which was true, except for something weird like I could write off going to the laundry or bank but only if I went on my way to work--not on my way home, something like that. And if I did my laundry on a day off, I had to stop by my office after the laundermat to be counted as a write off.

You might want to find out how your CPA wants you to organize your papers beforehand because they aren't all the same.

 

[Baconfat]

i just thought that i would add that depending on how you have your business set up, you can write off your everyday mileage to and from work at your office. not sure of the exact details so you'd have to talk to your accountant (which i strongly advise everyone to have) about it.

 

[Dan W]

My school was not deductible. The IRS does not allow to deduct your expenses when you are "learning a new trade". CEU's ARE deductible after you done that. I did write off sheets etc but not the tuition. The CPA refused to write it off even though a lot of people in class did. He said if I ever get audited it would not fly.
I am taking a personal trainer certification through ACE - NOT DEDUCTIBLE! I could write off the ACE book b/c I use it every day (stretches etc. as I like to work with athletes). But the exam itself, travel, hotel, meals - I would not be able to write off.

 

[Hamlet]

The biggest thing to remember is that IF you select he mileage option you don't deduct the actual gas and car expenses.

My mom had a situation where a vehicle was used ONLY for a certain business so for her it was better to take the actual costs of upkeep, maintenance and gas on the car.

But for most of our situations it is better to track the miles.

But if you take the standard per-mile deduction you forfiet the actual cost deduction. :-D

Angela