Tax Year Prior to 2020: I am a independent contractor and use my personal vehicle to perform the work but have not created a business I own to perform the work under, can I deduct car mileage?

[bjhines]

That makes sense with the lawn care business. It is owned and operated by our son and his home is the home office so our home is not the primary (and only) office for this business. So he can only claim mileage from one job to another, he can't claim mileage from our home to the first and from the last back to our home as business mileage it is commuting mileage. I do have to recalculate the mileage because I did have the mileage to and from our home included. Thanks for clarifying!

The construction I'm still a little confused about. I have the home office deduction figured out. Our home is the location of the primary (and only) office for this business. There is a designated area that is used for only business purposes. We don't owe anything on our home so there is no mortgage or interest and the area is only 80 sq feet so the simplified deduction is best for us. The only thing I was a little uncertain about for the home office is do I claim the internet and land line portion used for business purposes or is that included in the simplified deduction? I did claim the business portion of his cell phone because I'm confident that isn't included in the simplified deduction but I wasn't completely sure about the internet and landline phone so I did not include that in other expenses.

But the mileage isn't included in the home office deduction. So if the same rule applied then his commute to a job site, or to bid a job or conduct any type of business related matters, would be from the business office (our home) and would be deductible as business mileage not commuting, correct? 

[Carl]

Clarification is needed here.

Commuting miles from your residence to your *PRIMARY* place of business are *NEVER* deductible. No exceptions.

If you are self-employed, claim a home office ***AND*** that home office is your ***PRIMARY*** place of business, then you do *NOT* have any commuting miles from your primary residence, to your primary place of business.

[Bjhines1]

I do understand what can be claimed on the 1099-MISC he received from the mowing business that has an office outside our home.

However, he also owns a construction business that is a completely different company than the mowing business. It is a single member LLC that he is the sole owner of. I’m still not 100% sure where The start and end points are for mileage on this business.

I think I will just take our taxes to a CPA this year to make sure I am understanding this correctly. Once I get the terminology clarified I will feel more comfortable self preparing. Thanks for all the responses.

[sgilby]

One more scenario to throw in - haven' t been able to find anything this specific on the plethora of articles around the web.

Details:

Self-employed with home office as the only place I do any management / accounting etc.

This summer I worked 2 days a week for an agricultural operation as a contracted worker. While it was somewhat unrelated to the normal type of operations of my LLC, all financial activity ran through the business and I received a 1099 for this work.  

The ag operation is approximately 15 miles from my home.

Is this commuting or deductible mileage?

Thanks!

[RobertG]

Given the facts as you have presented them, it is deductible mileage.

Here is what the IRS says:

"If you have one or more regular work locations away from your home and you commute to a temporary work location in the same trade or business, you can deduct the expenses of the daily round-trip transportation between your home and the temporary location, regardless of distance.

If your employment at a work location is realistically expected to last (and does in fact last) for 1 year or less, the employment is temporary unless there are facts and circumstances that would indicate otherwise."

Publication 463 (2019), Travel, Gift, and Car Expenses

@sgilby

[KWHEEL]

Hi,

So, this is my situation. I receive a 1099 from a gym where I teach gymnastics. I know that I am an independent contractor, but I am confused about whether or not my mileage to and from the gym where I teach is commuting miles or deductible mileage. I don't technically have a "home office", but I do file a Schedule C. I have to travel to the gym where the gymnastics equipment is to teach my students. This is the only place where I go to teach. Is this commuting since it is the only place I go to?

Any help would be much appreciated.

[MayaD]

Yes, this is considered as commuting mileage and it is not deductible. Commuting is travel between your home and a work location.

Business miles are incurred when you go from one workplace to another workplace and are a deductible expense. 

[rondesgr]

I'm in a slightly different situation.  I am an employee at my main job.  This summer I took on consulting work as an independent contractor.  On the weekends, I would travel to my contract job then home.  During the week, I would travel from home to my main job, then to my contract job after work, then home.  What miles can I deduct?  The round trip on the weekends?  The mileage between my main job and contract work?  All the mileage?

Thank you in advance,

Ron

[ToddL99]

You can deduct the mileage driven above and beyond what you would normally have driven for your main job. 

In your case, all the weekend mileage (the round-trip) and a portion of the weekday mileage would be deductible expenses for your contract income.

The weekday calculation is little trickier. If your normal home-main job-home commute is 15 miles, but driving to your contract job adds 10 miles (total of 25), then you'd be able to deduct the additional 10 miles as an expense against your contract income. Basically, you get to deduct whatever mileage the contract job requires above your normal daily commute.

[rondesgr]

During the weekday course of travel, the contract job is on the way home.  So none of the mileage during the work job to the contract job to home would be deductible?

[JoannaB2]

Yes, You may deduct your business mileage without a business profile.  The mileage usage is deductible as business expense, if standard mileage is used rather than actual expenses. You must record personal and business mileage usage.

There may be some tax forms for self-employed individuals that aren't available yet. 

See, IRS forms availability.

[Brittnybroome]

Instead of deducting miles, can you just deduct gas as apart of the deductions instead?

thank you 

[Bjhines1]

Brittanybroome….You can claim gas but you would need to keep up with all your receipts and I’m pretty sure the rule is that once you claim by receipts instead of standard mileage you can’t change for that business on a later return. Like you can’t switch back and forth. Someone please correct me if that is wrong though.

[Critter-3]

Base rules ... you can take the standard mileage rate  OR  the actual expenses (includes depreciation).  If you start with actual the first year you place the car in service you are STUCK with actual however if you start with standard mileage then you can flip flop between the 2 options going forward.  

[afk]

My question is, my daughter is 19 and used the car we bought her, registered under me, to do DoorDash and Instacart.  She started in 2020 and when she filed her taxes she claimed mileage and gas.  In 2021, she started the year doing both again but stopped in late summer.  About the time she stopped, we ended up junking the car.  On the 2021 tax return, it asks for a date you sold or stopped using the vehicle, we put in 8/31/21.  When we continue we get a message about Ownership: "You have said that you neither own nor lease a vehicle for which you previously entered a date of sale.  You cannot sell a car that you don't own or lease.  Select Back to go back and either change the ownership or delete the date of sale.  What should I do?