Yes, as a self-employed taxpayer, you can deduct mileage from business work. If your vehicle is used for both personal and business travel, you can only deduct the mileage used for business purposes. There are 2 methods of claiming vehicle expenses for business use:
- Actual Expenses - Expenses related to owning and operating your vehicle as a business owner such as depreciation, lease payments, gas and oil, tires, repairs, insurance, registration fees, parking fees and tolls, and garage rent.
- Standard Mileage Rate - The IRS had 2 rates for 2022. For the first half of 2022 (January - June), the rate was 58.5 cents. For the second half of 2022 (July - December), the rate was 62.5 cents.
You can only calculate mileage that is used for business purposes. You cannot include any mileage used for personal use. Any personal use mileage will need to be excluded. As with any business expense, you will want to keep an accurate record of the mileage reported on your tax return.
As for the home office deduction, you will need a home office location to claim the deduction. The office must be used exclusively and regularly as part of your place of business.
Please see the following links for more information on business mileage and home office deductions:
IRS Mileage Rate
Business use of Vehicle
Home office Deduction
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