Checkmark iconCan I Write This Off?

Can you write off how to write off gas as a business expense?

TL;DR

Gas expenses can be deductible if they are directly related to business use of a vehicle.

Detailed Answer

Gas expenses are deductible when they are incurred for business purposes. You can choose to deduct actual expenses, including gas, or use the standard mileage rate. If you opt for actual expenses, you must keep detailed records of all costs, including gas, repairs, and maintenance. The vehicle must be used for business purposes, and personal use must be excluded from the deduction.

Where to Put It on the Tax Form

Schedule C (Form 1040), Part II, Line 9 for car and truck expenses.

Real World Example

A freelance photographer uses their personal car to travel to various photoshoot locations. They track their mileage and gas expenses, opting to deduct actual expenses. They keep receipts and a log of business miles driven.

Calculation Required

A calculation is required for this deduction.

To calculate the deduction, track all vehicle-related expenses, including gas, and allocate them based on the percentage of business use. Alternatively, multiply business miles driven by the IRS standard mileage rate.

Audit Risk & Documentation Tips

Maintain a detailed mileage log and keep all receipts for gas and other vehicle expenses. Clearly separate personal and business use of the vehicle to minimize audit risk.

IRS Reference

IRS Publication 463 (Travel, Entertainment, Gift, and Car Expenses) and IRS Publication 535 (Business Expenses)

Relevant Industries

FreelancersSmall BusinessSales ProfessionalsConsultants

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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 15, 2025

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