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Can freelancers deduct can i write off my gas for work?

TL;DR

Freelancers can generally deduct gas expenses for work-related travel, but only for the portion used for business purposes. Personal use of the vehicle is not deductible.

Detailed Answer

Gas expenses are deductible for freelancers when the vehicle is used for business purposes, such as traveling to client meetings or job sites. However, you cannot deduct gas for commuting between your home and your regular place of business. To claim this deduction, you must keep detailed records of your business mileage versus personal mileage. The IRS allows you to deduct either the actual expenses (including gas) or use the standard mileage rate, which for 2023 is 65.5 cents per mile. You must choose one method for the entire tax year. If you choose the actual expense method, you can also deduct other vehicle-related expenses like maintenance and insurance, but you must allocate these costs between business and personal use.

Where to Put It on the Tax Form

Schedule C, Line 9 for car and truck expenses. If using the actual expense method, additional details may be required on Form 4562.

Real World Example

A freelance graphic designer drives 1,000 miles in a year for client meetings and project site visits. If they choose the standard mileage rate, they can deduct $655 (1,000 miles x 65.5 cents). If they opt for actual expenses, they need to calculate the business-use percentage of their total vehicle expenses, including gas, and apply that percentage to their total vehicle costs.

Calculation Required

A calculation is required for this deduction.

To calculate the deduction using the actual expense method, determine the total vehicle expenses for the year, calculate the business-use percentage by dividing business miles by total miles driven, and apply this percentage to the total vehicle expenses. Alternatively, multiply business miles by the standard mileage rate.

Audit Risk & Documentation Tips

Moderate audit risk. Keep a detailed mileage log, including dates, destinations, purpose of trips, and odometer readings. Retain all receipts related to vehicle expenses if using the actual expense method. Consider using a mileage tracking app for accuracy and convenience.

IRS Reference

IRS Pub 463, Travel, Gift, and Car Expenses; IRS Pub 334, Tax Guide for Small Business; IRS Pub 535, Business Expenses.

Relevant Industries

FreelancersConsultantsReal Estate AgentsSales Representatives

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Disclaimer: This is for informational purposes only and should not be construed as tax or legal advice. Always consult your tax advisor.

Page created on July 25, 2025

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