Posts Tagged ‘irs rate’

Tax deductions for using personal car for business?

So I’ve asked similar questions before but my situation has changed since then. I am currently employed with the local paper one night a week collecting old papers and quarters from their racks. I drive my own car around for about 2 hours. The route itself is about 20 miles and obviously always the same. I was originally hired as an independent contractor, but now I am on the payroll so my income taxes will be handled normally.

My question now is what kind of deductions can I claim for using my car in this manner? Can I claim gas and maint. expenses like oil changes? Or can I only claim miles? The employer will be paying me some weird rate of $.35 per mile instead of the IRS rate, so I wonder if that comes into play anywhere. What kinds of records do I need to keep? I was just going to do an excel spreadsheet for the miles, and keep all my gas receipts obviously. I’m also only keeping the receipts to the gas I buy before doing the route.

Appreciate anyone’s help. Thank you!

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