Im a company driver but thought you guys could answer this for me. Is a tow bill that YOU pay considered a deduction. Last company I worked for made you pay for tow bills (certain ones). Got stuck at a consignee one day had to get towed out of the mud. The company paid up front, but took the bill out of my paychecks in installments, AFTER taxes. Can I claim this? Also what about "administrative citations" you have to pay
Maintenace Deductions
Discussion in 'Trucker Taxes and Truck Financing' started by w4cdw, Feb 1, 2014.
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this could technically be considered an unreimbursed work expense, but you'd have to give up a lot of other more favorable deductions in order to claim what I can only imagine is a bill, under $500.
EDIT- BTW, I'm working on the assumption that you're not filling a schedule C, so if you are; just tack it into box 12D. Though, personally I doubt it. You're more than likely just filling a w-2 on a normal 1040 if not 1040ez. -
ok thanks! I am just filing a 1040. also unfortunatley the bill was $1300
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Well since it's a 1040 there's not a whole lot you can do, unless you were a lease-op/OO.
Out of curiosity, are you doing your own taxes? or are you going through a service? Not being able to look over your whole tax return in person makes this sort of like throwing darts a dimly lit dart board in the back of a dark room. You might want to sit down a with a tax prep service, CPA's will charge for a consultation, but if you get one of the younger/middle aged guys you'll be better off paying for a short consultation vs going to H&R or Liberty tax service. Stay away from the older CPA's unless they're a bigger modern buisness, the reason being is the older guys care less about being up-to-date on tax laws and regs. -
If I was a company driver you bet I would deduct it as an expense. In this business, you should use the long form anyway. My mantra is that if in doubt deduct it, and if its flagged you can always adjust it, but as I've had a real live tax accountant, he's going to do the deduction, guaranteed. But like everything else, you are going to get possible different opinions on such an issue. As a truck driver, tax returns are not a simple thing to do. There are many variables.
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You should be able to claim it as an unreimbursed employee expense on Schedule A, Line 21, subject to the 2% AGI floor, and assuming you itemize deductions. If you are an interstate driver and do not participate in a company per diem plan, you may also be able to file Form 2106 to claim the per diem deduction. If you standard deduction ($6,100 to $12,200 depending on filing status) exceeds your total itemized deductions, then you will "lose" the deduction. Partnering with an experience tax professional to assist in your tax planning and preparation can save you money over the long run, by making sure you can claim every legitimate deduction available.
As far s citations or other fines, penalties, citations, etc.? They are all nondeductible expenses if paid to a government agency. If paid to a non-government entity, such as a late fee to a shipper or consignee, then they are deductible as a business expenses.
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