New with Trucking Taxes Please Help, Thanks!

Discussion in 'Trucker Taxes and Truck Financing' started by TruckYes, Dec 27, 2016.

  1. TruckYes

    TruckYes Bobtail Member

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    Dec 9, 2016
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    Hello guys,

    I've been a company driver for two years. I have no idea how I can save money on taxes and no idea on how to do my own taxes. I've read about per diem, writing expenses off, and turbotax and stuff like that. So, what I am understanding from reading the forums is that I can save $$$ by using an app called turbotax and writing off some of my expenses. Does turbotax work? Please help. Thanks!
     
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  3. RoughCut

    RoughCut Bobtail Member

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    Turbo tax is good however if you have kept all your receipts (things you have needed while on the road) you would be better off going to an accountant who specializes in doing trucker's taxes. It is so much more in depth than what I believe turbo can and will do. Best of luck!
     
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  4. TruckYes

    TruckYes Bobtail Member

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    Dec 9, 2016
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    Unfortunately, I haven't kept all my receipts. You think I can use Turbotax to do my taxes? And about how much money might I save if I do start keeping my receipts as a company driver. We got any TurboTax experts here?
     
  5. RoughCut

    RoughCut Bobtail Member

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    Best to keep all receipts but since you haven't kept all of them, using turbo shouldn't be a problem. It's fairly straight forward to use and user friendly.
    Ex. I have a credit card specifically use for things I need for my truck, while out on the road, etc and keep all receipts in a folder with me at all times as well. There are so many things you can deduct. Search the web to find a Trucker expense tax sheet and it should show you all the things that are deductible. You might even be able to call an accountant who specializes in truckers tax filings and they forwards you a breakdown list. If I could copy and paste I would send you one of mine.
     
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  6. RoughCut

    RoughCut Bobtail Member

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    In addition most people don't know by using an account that is a deductible service.
     
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  7. xsetra

    xsetra Road Train Member

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  8. Deadwood

    Deadwood Heavy Load Member

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    If you're a company driver you have limited expenses. Just take the Per Diem rate (currently $63 as of Oct 1, 2016) and multiply by your total days out on the road to get your deduction.

    Get your total days out by downloading your driving hours periodically from QualComm. QC only saves six months worth of data so you'll need to remember to do it every now and then throughout the year. Keep that data on your laptop as backup.

    Example:
    (340 days out) multiplied by ($63 Per Diem exclusion) = $21,420 deduction

    Not any more complicated than that.

    Note: If you're an Owner Op you'll want to go the receipt/accountant route...
     
  9. Ridgeline

    Ridgeline Road Train Member

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    It doesn't matter if you are a driver or not, rule number one is keep your receipts. The same goes for logs, don't wait for six months to roll around if you are on elogs, get them monthly.

    Rule number two is to have someone do your taxes, as a driver I would still look at an accountant to walk you through the deductions and answer your questions the first time around, and unless something drastically changes, then you can do the taxes on your own.

    IF you had your records, you could have filed amended returns for the last year or two to add in the expenses to get money back. BUT it is a problem when you don't keep receipts and you can't get your logs.
     
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  10. Mark Kling

    Mark Kling Technology Contributor

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    It is not Per Diem, but M&IE. page 5 of pub 463.

    Jan 1, 2016 - Sep 31, 2016
    in US $59
    Out of US $65

    Oct 1, 2016 - Dec 31, 2016
    in US $63
    Out of US $68

    You need to take into account partial days which are different..

    Partial days out - go home/leaving = 75%x63 page 6 of p463

    Travel for days you depart and return. For both the day you depart for and the day you return from a business trip, you must prorate the standard meal allowance (figure a reduced amount for each day). You can do so by one of two methods.
    Method 1: You can claim 3/4 of the standard meal allowance.
    Method 2: You can prorate using any method that you consistently apply and
    that is in accordance with reasonable business

    You will need to itemize to take this.

    Find an CPA or accountant that is familiar with Truckers.

    I attached Publication 463.

    Turbo Tax does allow for M&IE, but you should be familiar with taxes. I suggest use an accountant for the first time to get an idea of what is involved.

    For receipts, I would suggest getting the Neat scanner or some other means of scanning you documents. IRS does allow scanned copies. If not scanning get an accordion type file and keep your receipts in by month. I would suggest keep them on a spreadsheet with the receipts there if needed for verification.

    If you are not familiar with spreadsheets I can assist. You can use Open Office.

    https://www.openoffice.org/
     

    Attached Files:

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  11. driverdriver

    driverdriver Road Train Member

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    You can also use hr block.
    Not just any one though I have several offices in my city only two in my immediate area that have one person that's familiar with trucking and know all the appropriate deductions.
    And I'm done in less than an hour.
     
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