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Level 2
September 24, 2019
Question

Mileage deduction

  • September 24, 2019
  • 1 reply
  • 7 views

My "employer" who pays me is an agency in California but I am a "contractor" to a company in Maryland where I provide my services. This Maryland company has several locations and I use my personal vehicle to get around to all of them. Can I deduct any or all of the mileage since I am not actually traveling to the company who pays me?

    1 reply

    rjs
    Level 15
    Level 15
    September 25, 2019

    It's not clear from your post whether you are an employee or self-employed. If you are an employee (you get a W-2), under the new tax law you cannot deduct mileage or any other business expenses.


    If you are self-employed, you can deduct as a business expense the mileage when you go from one of the Maryland company's locations to another in the course of a day. You cannot deduct the mileage to or from home.


    The fact that you do not go to the agent's location has nothing to do with it.

    jaimedogAuthor
    Level 2
    September 25, 2019

    Thank you RJS

    I am a W-2 employee of the agency in California (they pay me) but I travel to Maryland to several locations of a totally un-related company to perform various services for them. The company in Maryland views me as a contractor since I am not their employee. I guess I was thinking this was like being a field-based service provider and that travel expenses would be deductible...no?

    rjs
    Level 15
    Level 15
    September 26, 2019

    No. You are an employee, not a contractor. You cannot deduct travel expenses or any other job-related expenses. You are an employee of the agency in California. The company in Maryland is a client of the agency that employs you. It doesn't matter how your employer's client "views" you.