Are you keeping track of mileage on your business trips? Millions of drivers across the U.S.A. need to keep track of their odometer reading in order to maintain a mileage log for taxes or to get reimbursed by their employer. This article should provide a basic overview of how to track these trips.
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IRS Mileage Log Requirements
The Internal Revenue Service (IRS) is requiring taxpayers to keep a vehicle mileage log for the tax year 2023. This log will allow the IRS to track your travel expenses and calculate your travel income.
To keep your mileage log, you will need to record the following information for each trip you take:
- Start/end dates of the trip
- Your location at the start and end of the trip
- The name of the business, organization, or individual you were traveling to or from
- The dates you were driving your vehicle
You must keep this simple mileage log for at least six years after the year in which you traveled. If you are self-employed, you must also keep a mileage log for each calendar year in which you engage in business travel.
Please note that you are not required to keep a mileage log for personal trips that do not involve business activity.
Mileage Reimbursement
The cost of owning and operating a car continues to increase, making it more expensive to commute each day. In order to help offset these costs, many companies are introducing mileage reimbursement programs.
By receiving reimbursement for the miles they have driven, drivers can save money on their everyday expenses.
There are a number of different programs available for mileage reimbursement, so it is important to do your research before signing up. Some programs will only reimburse you for certain types of miles, while others will reimburse you for any miles you drive.
Whatever program you choose, make sure you are fully aware of the rules and restrictions of the program. Many programs have rules that you must follow in order to receive reimbursement, such as driving within a certain mileage range or taking certain types of trips.
Can I track Mileage on the Go?
Using an app to keep track of mileage is important for several reasons. It can help you stay on track with your goals, as well as keep track of your progress. Using a mileage log template can also be a fun way to track your progress and see how your mileage changes over time.
There are a number of different mileage tracking apps available on the market. The best app for tracking mileage for taxes is MileageWise, the easiest, quickest, and most profitable way to track mileage for tax purposes.
MileageWise
MileageWise, a 100% IRS-compliant mileage tracker app, offers a tax deduction of $12,000 on your yearly mileage deduction. This company’s AI-powered technology helps recreate your forgotten past mileage, based on your previous journeys and your clients’ locations. You can also manually record your trips. Trip data can be imported from Google Maps Timeline. This VIP mileage log preparation service can save you time and hassle.