What Is a Mileage Log, and How Does It Affect Your Taxes?
Hey, fellow entrepreneurs! Let's talk about something that might not be at the top of your list but is crucial for your business: mileage logs. Keeping a detailed mileage log can lead to significant tax deductions if you're using your ride for business, medical, charitable, or moving purposes. Here's the lowdown:
What's a Mileage Log?
A mileage log is a record that tracks the distances you've traveled for specific purposes. It's your proof to the IRS that you're eligible for deductions based on your vehicle's use. You can keep this log manually or, better yet, use a dedicated app to streamline the process.
Why Should You Care?
Accurate mileage tracking ensures you can claim the maximum deductions you're entitled to, reducing your taxable income. The IRS has specific requirements for these logs, so maintaining detailed records is essential to avoid any issues during tax time.
What Should Be in Your Mileage Log?
To keep the IRS happy, your mileage log should include:
- Date of the trip
- Starting location
- Destination
- Purpose of the trip
- Starting and ending odometer readings
- Total miles driven
By keeping these details in check, you're setting yourself up for smooth sailing come tax season.
Pro Tip: Use Technology to Your Advantage
Manually logging miles can be a drag and prone to errors. Consider using a mileage tracking app like MileIQ, which automatically records your drives and helps categorize them, ensuring you have accurate and IRS-compliant records without the hassle.
Stay sharp, keep those logs accurate, and make sure you're getting the tax benefits you deserve!
Stop Playing & Start Saving
If you’re still out here tracking miles the hard way, you’re leaving money on the table. MileIQ does the heavy lifting so you can focus on your grind.
Don’t wait ‘til tax season to realize you messed up. Download the MileIQ app now and make your life easier! 📲🚗💨
Want to learn more about why mileage logs matter? Read this blog: What Is a Mileage Log, and How Does It Affect Your Taxes?
Already using it? Thinking about making the switch? Drop a comment—I wanna hear about it!
This post is sponsored, but trust me, it's all facts.