Author Topic: transportation expenses  (Read 1094 times)

DBV1985

  • 5 O'Clock Shadow
  • *
  • Posts: 51
  • Location: arizona
transportation expenses
« on: January 07, 2017, 05:37:05 PM »
Hi all,

I have a job that requires me to drive to various work sites on a regular basis. I plan on deducting it off my taxes. Just out of curiosity for those that do the same..how much do you deduct on taxes for transportation and do you keep a log for each trip?

Thanks,

J

SeattleCPA

  • Handlebar Stache
  • *****
  • Posts: 2384
  • Age: 64
  • Location: Redmond, WA
    • Evergreen Small Business
Re: transportation expenses
« Reply #1 on: January 08, 2017, 11:45:09 AM »
Your commuting costs aren't deductible. So transportation costs become deductible only if you're traveling outside your home territory or after you get to your first work location and before you get to your last work location.

E.g., you live in Seattle and normally work in Seattle, you need to be driving to outside the Seattle greater metro area in order to have deductible transportation costs... or you need to first commute from your home to your first work location.. and then further travel during the day becomes deductible... up until the point you get back to home office or last work location... and then driving back home begins your commute home.

BTW, probably transportation costs aren't very deductible if you're an employee. You need to itemize and transportation expenses for a job would only be deductible if your total miscellaneous itemized deductions exceed 2% of your AGI.

DBV1985

  • 5 O'Clock Shadow
  • *
  • Posts: 51
  • Location: arizona
Re: transportation expenses
« Reply #2 on: January 10, 2017, 06:46:54 AM »
Yes,  that is my understanding also. I  Drive to various hospitals throughout the day so it does add up past the 2% of income mark. I just wasn't sure if it's like the clothing donations when the irs will audit past a certain amount. I do plan on keeping a log of all the drivinng.