3 results for tag: Business Miles


How Will You Deal with the New 62.5 Cents Mileage Rate?

Well, the IRS woke up and noticed that average gas prices across the United States now exceeded $5.00 a gallon and took action that might help you a bit. Small businesses that qualify to use and do use the standard mileage rate can deduct 62.5 cents per business mile from July 1 through December 31, 2022. That’s an increase of 4 cents a mile. This brings up a practical question: What to do if you track business mileage using the three-month sample method? Three-Month Sample Basics As a reminder, here are the basics of how the IRS describes the three-month test: The taxpayer uses her vehicle for business use. She and other ...

Increase Your Tax Deductions Using the Business-Mileage Rule

Request Please clarify how to properly record commuting mileage, especially if you do other trips before and after stopping at your regular office. Response To record commuting mileage, you simply write in your appointment calendar (or other daily record or digital app): home to office, 10 miles, commute. Ugh! We Don’t Like That We absolutely, positively don’t like commuting mileage. You should dislike it, too. It’s personal. It’s not deductible. But with knowledge, it’s avoidable. Let’s eliminate commuting and make those trips from your home to your office deductible. The law gives you two ways to eliminate ...

14 Tax Reduction Strategies for the Self-Employed

It's a brand new 2022, 2021 has ended, and either you already have your 2021 taxes squared away or you're filing an extension so that you can figure out how to optimize your tax avoidance strategies for the new business you started during the COVID-19 Pandemic in 2021. Let's get your mindset and strategic thinking for 2022 heading in the correct direction with the following 14 Tax Reduction Strategies for the Self-Employed. Parts of this article are published with permission from Bradford Tax Institute, © 2021 Daniel Morris, Morris + D’Angelo In this article, you will find some related articles that I've previously written with the nuts ...