Trucker Tax Tips & Deductions

Nice list, but it really comes down to the agent.

My last audit, she did not allow any cleaning supplies for the truck, it was classed as personal.
The XM radio was classed personal.
Anything classed as clothing, coats, rain gear, gloves, boots and so forth were classed as personal.
Medicines were classed as personal.
Hand cleaners.

Currently in appeal on my audit.

 

Exactly, sir. Spot on. That is why, if you are home every night, you have to save your recpts so that you can itemize them and write them off the old-fashioned way: one at a time as part of your general business expenses. Per diem really is quite nice and makes things much simpler.

 

If you are at home every night, you are wasting the time and effort keeping receipts for meals. They are not deductible.

You are confused. Otherwise, the guy working at McDonalds could deduct the lunch and meals as well.

 

The RX I can see being personal but all the supplies!!! They should allow that, I once had them disallow cell phone charges which is often forgotten about but I won on that and travel expenses.

Many of the auditers are clueless about the transportation industry so they more or less learn from what they do and who they audit. we just have to put up a reasonable fight and teach them what it is used for and why it is necessary for business.

 

I have a room @ my house that's used for my office, so my company is paying half of my water,electricity, cable, phone,& internet bills. Dogs(security), dog food, 60 inch smart tv that's in my office is being paid by my company also.

 

Does anyone know of a Trucker knowledgeable CPA? Name, address & phone #

 

They are deductible just like with any other business. That's why you see people at business lunches save their recpts, right? And the guy working at McD's gets his lunch for free, and gets paid on a W-2, and will never reach the minimum allowed deductible amount. It's like $11,400 or something. He'll just take the minimum. I did that when I was driving for a company in a daycab, and I was also paid on a W-2 there.

I know that I cannot use per diem. But I can use normal business expenses.

 

I can show you links that prove this wrong.

Why don't you do me a favor and show the link that supports your claim.

I have prepared hundreds of returns and this almost makes me laugh.

 

You have way more experience than I do. I have only ever done my own tax return, which means I've only done 22 of them, and most of them have been very simple. In fact, this will be the first year I will ever have had a deductible amount that is more than the minimum, and in which I will have to itemize.

http://www.irs.gov/publications/p535/ch11.html

I'm pretty sure that's the section.

The other publication associated with this is (to a lesser extent, because this is so obviously not entertainment):

http://www.irs.gov/publications/p463/ch02.html#en_US_2012_publink100033901

[h=4]Reimbursement of Travel, Meals, and Entertainment[/h] The following discussion explains how to handle any reimbursements or allowances you may provide to your employees under a reimbursement or allowance arrangement for travel, meals, and entertainment expenses. If you are self-employed and report your income and expenses on Schedule C or C-EZ (Form 1040), see Publication 463.

To be deductible for tax purposes, expenses incurred for travel, meals, and entertainment must be ordinary and necessary expenses incurred while carrying on your trade or business. Generally, you also must show that entertainment expenses (including meals) are directly related to, or associated with, the conduct of your trade or business.

And it goes on.

I don't know, dude. There seems to be a split between cpas and tax professionals on this particular point. That's what I read, anyway. We'll see how it goes.

 

[h=4]Reimbursement of Travel, Meals, and Entertainment[/h] The following discussion explains how to handle any reimbursements or allowances you may provide to your employees under a reimbursement or allowance arrangement for travel, meals, and entertainment expenses. If you are self-employed and report your income and expenses on Schedule C or C-EZ (Form 1040), see Publication 463.
To be deductible for tax purposes, expenses incurred for travel, meals, and entertainment must be ordinary and necessary expenses incurred while carrying on your trade or business. Generally, you also must show that entertainment expenses (including meals) are directly related to, or associated with, the conduct of your trade or business. For more information on travel, meals, and entertainment, including deductibility, see Publication 463.


Publication 535 is for the business expenses. It is used to guide an individual engaged in a trade or business. Not for an employee working for a business. It deals with the deductions for expenses of employees under accountable plans.

You are not an employer dealing with expenses for any of your employees, so that publication is moot.


Publication 463 Chapter 1 has a section for meals.

Here are the reasons for meals to be deducted.


[h=4]Meals[/h] You can deduct the cost of meals in either of the following situations.

• It is necessary for you to stop for substantial sleep or rest to properly perform your duties while traveling away from home on business.
  
• The meal is business-related entertainment.

Business-related entertainment is discussed in chapter 2 . The following discussion deals only with meals that are not business-related entertainment.


http://www.irs.gov/publications/p463/ch01.html#en_US_2012_publink100033781