I created my MI LLC in March and traveled in April to meet a potential client. Eventually I did get some work from the client in September. I don't think I have actual receipts for gas remembering at my previous employer, I just submitted an expense report for milage on my personal vehicle.
I used my personal credit card at the time since I did not have a business account. I have my monthly statements and can get a copy of the bill from my hotel, so I have some paper trail.
Would it be best practice to just submit a personal milage expense report to myself and use that as documentation?
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Yes, you can deduct business related mileage, and it is very important to keep good records of the mileage. Some people use a paper log/report, others use phone apps. A single member LLC is what's called a disregarded entity by the IRS, unless you did an entity declaration form to be treated differently for tax purposes. Everything will be reported on your individual 1040 using Schedule C. TurboTax will guide you through a bank of questions regarding your vehicle and calculate the best deduction, actual expenses or mileage.
Here's a great resource for buiness use of a vehicle.
Hope this helps!
Cindy
Yes, you can deduct business related mileage, and it is very important to keep good records of the mileage. Some people use a paper log/report, others use phone apps. A single member LLC is what's called a disregarded entity by the IRS, unless you did an entity declaration form to be treated differently for tax purposes. Everything will be reported on your individual 1040 using Schedule C. TurboTax will guide you through a bank of questions regarding your vehicle and calculate the best deduction, actual expenses or mileage.
Here's a great resource for buiness use of a vehicle.
Hope this helps!
Cindy
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