The IRS allows taxpayers to deduct the expense of operating a vehicle for business purposes....
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The IRS allows taxpayers to deduct the expense of operating a vehicle for business purposes. The taxpayer can keep records documenting the miles driven for business and the annual expenses for the vehicle and deduct the percentage of expenses based on the percentage of miles that were driven for business. Or, the taxpayer can use the standard deduction of 55 cents per mile. Jason Selvidge calculated his annual deductible expenses for his car to be $4,800. He drove his car a total of 16,000 miles during the year, and 10,000 of those miles were for business. How much of his actual expenses can he deduct? How much could he deduct if he takes the standard deduction?
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