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How do I deduct can you write off gas on your taxes on my taxes?

TL;DR

Gas expenses can be deductible if they are incurred for business purposes.

Detailed Answer

Gas expenses are deductible when they are directly related to business activities. For example, if you use your personal vehicle for business travel, you can deduct the cost of gas as part of your vehicle expenses. However, commuting from home to your regular place of business is not deductible. You can choose between deducting actual expenses, which include gas, or using the standard mileage rate set by the IRS.

Where to Put It on the Tax Form

Schedule C (Form 1040) for sole proprietors, under 'Car and truck expenses'.

Real World Example

A freelance photographer drives to various client locations for photo shoots. They track their mileage and gas expenses and choose to deduct the actual expenses on their Schedule C.

Calculation Required

A calculation is required for this deduction.

To calculate the deduction, you can either track actual gas expenses or use the IRS standard mileage rate. If using actual expenses, keep detailed records of gas purchases. If using the standard mileage rate, multiply the business miles driven by the current IRS mileage rate.

Audit Risk & Documentation Tips

Maintain a detailed log of business miles driven, including dates, destinations, and purpose of trips. Keep all gas receipts and records of vehicle maintenance. Accurate and thorough documentation can reduce audit risk.

IRS Reference

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

Relevant Industries

FreelancersSmall BusinessSales ProfessionalsReal Estate Agents

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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