Visitor II

Mileage Deduction

Hi,

I do a lot of traveling for work. Most places I travel to are at least 40-50 miles from my house, but they’re mostly within my metropolitan area. My employer covers the mileage outside of my metropolitan area, so I know I can’t claim that. When I’m not traveling, I’m at the closest location to my home. My question is (since I have a primary location during my downtime), would I be able to claim the standard mileage deduction when I’m traveling beyond that location?

Thanks for any help!
1 Comment
TurboTax Specialist

Mileage Deduction

Yes, if you itemize deductions you may be able to deduct some of your mileage. You can't deduct commuting mileage, so your drive to the first location of the day--whether it is your office or a customer site--is not deductible. You also cannot deduct your mileage for the other half of your commute, that it, your ride from your last place of business (office or customer site) to your home. However, if you work at multiple sites, even if they are within your metropolitan area, you may deduct the mileage between those sites.

 

For example, suppose you spend your day in your metropolitan area, working at your office and visiting customers. You make the following trips:

  • You drive directly from your home to customer A. Nondeductible commuting.
  • You drive from customer A to your workplace. Deductible business miles.
  • You drive from your workplace to customer B. Deductible business miles.
  • You drive from customer B to customer C. Deductible business miles.
  • You drive from customer C to your home. Nondeductible commuting.

 

Again, to deduct your business miles as an employee, you must itemize deductions (Schedule A). The miles won't be fully deductible because employee business expenses are part of the miscellaneous itemized deductions that are subject to the 2% rule.

 

For more information, please see Business Use of Vehicles and Federal Tax Laws on Mileage Reimbursement.