Owner Operators: Don't Overlook These Tax Deductions
Posted on February 23, 2017 at 3:52 PM by Troy Cummings
Overdrive Online recently published an article with money-saving tax deduction information for owner operators.
According to the article, there are many expenses that owner operators could be writing off, that they might be missing.
Some of those write-offs include:
- Meal expenses. Drivers are allowed $63 a day on the road for meals. 80% of that per-day allowance is deductible. A driver could save more than $2,300 in taxes thanks to meal expense deductions.
- Small purchases. Owner-operators can record anything from tarps to log books as business purchases, and those small deductions can add up!
- Local mileage. Don't forget to record the mileage of a personal vehicle, if it is being used for business purposes. Use a notebook and record the date, total miles, destination, and purpose of the trip. The IRS allows a deduction of 54 cents per mile
- Phone bill. In most cases, the cost for a cell phone and the service that goes along with it is fully deductible.
- Home office expenses. Do you have a space devoted to a home office for your business? Is it used regularly and exclusively for business purposes? If so, you can write off everything from furniture to a laptop.
Read more about tax deductions for drivers.