In the past have you claimed mileage deduction or actual expenses? If you claimed mileage you add up the number of miles you drove on business and claim a deduction per mile. Divide your specific vehicle type's cost number by 15,000, the average number of miles driven each year according to AAA. For example, if you drive a large sedan, divide 5,091 by 15,000 to get 0.3394. This tells you that your wear and tear cost is 33.94 cents per mile. For cars an employee uses for business, the portion of the standard mileage rate treated as depreciation will be 26 cents per mile for 2021, down from 27 cents per mile in 2020. To find the depreciation mileage rate for years before 2020 search the term "depreciation mileage rate (year). To get the total amount of mileage depreciation you would need to go back to the year in which you started using the vehicle for business.
