Trucker Tax Tips & Deductions

Discussion in 'Trucker Taxes and Truck Financing' started by WiseOne, Apr 2, 2007.

  1. Mark Kling

    Mark Kling Technology Contributor

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    If you use your personal vehicle then it you can claim mileage. It is .55cpm for 2014. The company usually pays per load. Per Diem is not rated by either empty or loaded miles. It is a daily basis. I suspect this is what she is using.

    You have a Transportation Per Diem which is different for Daily Per Diem.

    Your weekly/bi-weekly pay stubs should show the amount of Per Diem taken per pay period. Keep track of this. Keep track of the amount of days you are out and also what days you are going home/leaving domicile since this is only 75% of the daily Per Diem rate.

    A company will never take out more Per Diem than what you rate. Simply because if they exceed what you are allowed the IRS will drop them out of the Per Diem Program. Thus, at the end of the year you will always be able to claim some Per Diem.

    I would suggest that you also look at prior years and make sure you did not miss out on what you were allowed for Per Diem.

    I agree, she is doing some odd math.

    ($59 x days out) x 80% = A amount
    ($59 x days home/leaving) x 75% = B amount

    (A amount + B Amount) - $ (what company claimed) = what you can claim at end of year.
     
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  3. Bigfoot3638

    Bigfoot3638 Bobtail Member

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    One minor correction on your statement Mark. In and out days are 3/4 days and then you multiply X 80%. $59 x .75 = 44.25 X .80=35.40
     
  4. GITRDUN45

    GITRDUN45 Heavy Load Member

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    Not to steer away from current conversation but I'm looking for a REAL CPA. One that does what their suppose to and knows the trucking industry for 0/0's. One that helps and explains where you can save. Or when to purchase more things or equipment to lower taxes etc. now in prefer one close to home. But I called one here locally and she didn't seem to care or know enough like she said she did to make sure I save and grow like her job suppose to do. So I'm real skiddish on who is recommended. Ones recommended by ooida on Oregon and nastc recommended in indi and I'm in Florida. Thanks for input. Hope all is safe.
     
  5. Roadmedic

    Roadmedic Road Train Member

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    I am sorry that you feel you have to have a real cpa. My experience with most of them in my past life is that they do not always do a better job. They make the most of their money from high dollar accounts and tax returns are just additional money. I have had dealings where they do the return and it is wrong and they just say, we just do it that way. If it is in error, you pay the tax and maybe they will pay the penalty.

    There are enrolled agents that deal with the issues and are tax oriented.

    I have a friend who used a firm out of North Carolina and I reviewed his return for him to ensure that it was correct and found no errors.

    As far as the when to purchase things and whether to spend money to lower taxes, these are things that you should be watching and preparation of the financial statements each month will give you the proper direction. Without them you are operating blind.

    The best thing to consider in this industry is what the cost of operating the vehicle is. I have never stated to buy just to save money. Consider a truck that is maintenance draining and then look at the problems with new truck motors.

    I wish you the best on the search.
     
    GITRDUN45 and kimbosa Thank this.
  6. GITRDUN45

    GITRDUN45 Heavy Load Member

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    Thanks, appreciate your opinion.
     
  7. OuchingMegaSpank

    OuchingMegaSpank Bobtail Member

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    I'm considering going O/O. I'd like to get an idea of how much I will need to set aside for taxes. In particularly, I am having trouble finding information on paying Social Security and Medicare. I understand I will lose my company match as an O/O, so what am I to pay these from? My gross? My Net, after operating costs, what? Anyone have a link to a good source that would break these kinds of numbers down for me? Thanks!
     
  8. Ridgeline

    Ridgeline Road Train Member

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    I would start with looking for and retaining a lawyer and an accountant to ask those questions. The former will help you set-up proper protection for you and your company (which is not an LLC) and the latter will help you set-up the business structure to minimize your tax liability. The latter is also important for another reason, to show you how to keep records so you know exactly what's going on. One truck or twenty, it is all the same.

    The thing that YOU have to remember is that these two things are tools that you USE to make money with. Having an accountant that just is there to answer questions once your business gets rolling is a good thing, especially when planning on making capital expenditures while a lawyer is a good resource when you have a problem, like collection of a debt or an accident (you do not need a lawyer who is a traffic lawyer but one that can advise yo on basics like keeping your mouth shut).

    I found that a good accountant and lawyer both will find the answers they need to serve you, their client which means you don't need a trucking lawyer and accountant but just a good one.
     
  9. TaxPhd

    TaxPhd Light Load Member

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    Can you explain the part in red?
     
  10. turbo64

    turbo64 Light Load Member

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    Any truck cpa should get you all your deductions for car mileage getting parts,logbooks cb radio stuff, dinners with prospective clients, drivers telling you leeds. Etc I took it all.
     
  11. tgo1130

    tgo1130 Bobtail Member

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    my question I have a e.i.n. number do I file taxs for it plus for my SS.number also ?
     
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