I ran 30000 business miles last year, none of it reimbursed. At $.575 per mile what should it reduce my taxes? Is it a direct deduction of $17250?
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No, the deduction will be subtracted from your gross business income to determine your net business income. The tax is then applied to the adjusted gross income soo it is not a direct amount.
If I am a w-2 employee but have the mileage expenses, do I need to change how my employment is considered. My earnings are from the business that I don't own but am paid salary with unreimbursed mileage.
Sorry if you are a W2 employee job expenses are no longer deductible. See Deductions that have been suspended for 2018 - 2025.
Is there a way I can legally claim my mileage since I am a w-2 employee in a small business
My work demands that I drive to see my clients. That costs me money. How am I supposed to afford wear and tear on vehicles if not through claimed mileage?
No.
If you're an employee, there's no deduction available for this. That's how the law has been for several years.
So the best way forward is to become a different type of employee such as a contracted employee? Any other options?
In other words if I received a 1099 of some form and pay my own taxes, I could claim my business miles driven?
Correct -- If you received a 1099-NEC (nonemployee compensation) you would be considered an independent contractor running your own business. You would then be able to take either mileage or actual expenses for your automobile, along with any other business expenses. You would also be responsible for your own payroll taxes (Social Security, Medicare).
You could also talk with your employer and negotiate a reimbursement of the mileage or expenses you incur.
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