Work vehicle Deducting Repairs vs mileage

joel88 — Wed, 27 Oct 2021 22:43:12 GMT

I have two vehicles that I've used for work as an independent contractor. One vehicle I put a lot more miles on, and the other vehicle I've spent a lot more money repairing this year. When I'm doing taxes for this year next February, can I deduct the mileage for one vehicle and the repairs for another? Or do I have to pick between mileage or repairs? Or do I even have to pick a single vehicle as my primary work vehicle and use whatever deduction is the highest on that?

Re: Work vehicle Deducting Repairs vs mileage

KarenL — Wed, 27 Oct 2021 23:47:33 GMT

Vehicles can get tricky. You can use a different method for each vehicle. However, if you ever want to take the Standard Mileage rate deduction, it must be done in the first year the vehicle is placed into service. After that, you can choose between the Actual Expenses or the Standard Mileage rate.

Keep in mind that you have to track mileage no matter what method you use. It sounds like you already do this. But, be sure to keep good records in case you are ever required to provide proof to the IRS. The reason to keep track is to get the business use percentage for each vehicle. The IRS assumes that it is likely that most taxpayers use their vehicles for personal use from time to time.

topic Work vehicle Deducting Repairs vs mileage in Self employed

Work vehicle Deducting Repairs vs mileage

Re: Work vehicle Deducting Repairs vs mileage