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If you use your car in the course of your employer's business (not including commuting) you may be able to deduct some of the costs. You can either keep a log of all of the expenses including receipts for any single expense of $25.00 or more or you can keep a mileage log and deduct a flat mileage rate of 44.5 cents per mile.

To take the mileage rate, you must keep a log of all miles at the time that they are driven. If you get audited, you'll have to provide the logs and they will be scruitinized to see if they appear to have been done throughout the year of if it looks like you sat down and made them up all at once. If they look like they were made up all at once, the deduction will be denied.

Any expenses that you incur must be offset by any reimbursements you received from your employer.

2007-01-23 13:31:08 · answer #1 · answered by Bostonian In MO 7 · 1 0

If you're talking about driving back and forth from your home to a job's regular office that is out of town, then it's commuting expenses and not deductible.

2007-01-23 17:34:38 · answer #2 · answered by Judy 7 · 0 0

No receipt, no deduction!

2007-01-23 13:21:14 · answer #3 · answered by Redawg J 4 · 0 2

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