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Deductions & credits
Every person's tax situation is different so we can't say if one way is better or worse for you. It may be better in some years but some years you'll get a bigger deduction using the standard mileage rate. You're encouraged to do it both ways to see which is more beneficial but you don't have to.
Mileage is an allowable deduction if you’re self-employed or own your own business. You can choose between the standard mileage rate or the actual cost method where you keep track of what you paid for gas and maintenance.
Related Information:.
- What self-employed expenses can I deduct?
- What is the self-employment tax?
- Why am I paying self-employment tax?
- What tax breaks can I get for my 1099-MISC?
- What's the difference between self-employment income and other income?
- Am I considered self-employed?
- How is being self-employed different from being an employee?
- How do I report income from self-employment?
- Does a 1099-MISC mean I'm self-employed?
- What if I didn’t get a 1099-MISC, but made money from self-employment?
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March 4, 2021
5:24 AM