Mileage Deduction – DougFreemanCPA.com

Keep these DOs and DON’Ts in mind when deducting business meal and vehicle expenses

Business Expenses, Business Meals and Entertainment, Business Vehicle, IRS Audit, Tax Code, US Tax Court, Vehicle Expenses / Douglas Freeman

If you’re claiming deductions for business meals or auto expenses, expect the IRS to closely review them. In some cases, taxpayers have incomplete documentation or try to create records months (or years) later. In doing so, they fail to meet the strict substantiation requirements set forth under tax law. Tax auditors are adept at rooting […]

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Numerous tax limits affecting businesses have increased for 2022

401K, Business Deductions, Business Travel Deductions, Deductions, Employees, Flexable Spending Accounts, Health Savings Account, Retirement, Simples, Small Business, Social Security & Medicare (FICA) taxes / Douglas Freeman

Many tax limits that affect businesses are annually indexed for inflation, and a number of them have increased for 2022. Here’s a rundown of those that may be important to you and your business. Social Security tax. The amount of an employee’s earnings that is subject to Social Security tax is capped for 2022 at

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Tax depreciation rules for business automobiles

Depreciation, Gross Vehicle Weight Rating (GVWR), Small Business, Tax Deduction, Tax Savings, Vehicle Expenses / Douglas Freeman

If you use an automobile in your trade or business, you may wonder how depreciation tax deductions are determined. The rules are complicated, and special limitations that apply to vehicles classified as passenger autos (which include many pickups and SUVs) can result in it taking longer than expected to fully depreciate a vehicle. Cents-per-mile vs.

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Higher mileage rate may mean larger tax deductions for business miles in 2019

2018 Mileage Deduction, 2019 Mileage Deduction, Business Mileage, Deductable Expenses, Income Tax, Internal Revenue Service, Tax Cuts and Job Acts (TCJA), Tax Savings, Vehicle Expenses / Douglas Freeman

This year, the optional standard mileage rate used to calculate the deductible costs of operating an automobile for business increased by 3.5 cents, to the highest level since 2008. As a result, you might be able to claim a larger deduction for vehicle-related expense for 2019 than you can for 2018. Actual costs vs. mileage

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What’s your mileage deduction?

2018 Mileage Deduction, Business Mileage, Charitable Mileage Deduction, Tax / Douglas Freeman

Individuals can deduct some vehicle-related expenses in certain circumstances. Rather than keeping track of the actual costs, you can use a standard mileage rate to compute your deductions. For 2017, you might be able to deduct miles driven for business, medical, moving and charitable purposes. For 2018, there are significant changes to some of these

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