Checkmark iconCan I Write This Off?

Is is gas a write off tax deductible?

TL;DR

Gas can be a tax-deductible expense if it is incurred for business purposes, but it must be properly documented and substantiated. Personal use of gas is not deductible.

Detailed Answer

Gas expenses are deductible when used for business purposes, such as driving to client meetings, job sites, or business-related errands. However, if you use your vehicle for both personal and business purposes, you can only deduct the portion of the gas used for business. You have the option to deduct actual expenses, including gas, or use the standard mileage rate, which includes gas and other vehicle expenses. It's important to maintain a detailed log of business miles driven and keep receipts for gas purchases. For example, a freelance photographer driving to a photoshoot can deduct the gas used for that trip. However, commuting from home to a regular place of business is not deductible.

Where to Put It on the Tax Form

Schedule C, Line 9 for car and truck expenses, or Form 2106 for employee business expenses if applicable.

Real World Example

A freelance graphic designer drives 200 miles in a year to meet with clients and attend industry events. They keep a log of these trips and the gas receipts. If they choose the actual expense method, they can deduct the cost of gas for these 200 miles. Alternatively, they could use the standard mileage rate to calculate the deduction.

Calculation Required

A calculation is required for this deduction.

To calculate the deduction using the actual expense method, total the gas expenses for business trips. Alternatively, multiply the business miles driven by the IRS standard mileage rate for the year (e.g., 65.5 cents per mile for 2023).

Audit Risk & Documentation Tips

Moderate audit risk. Keep a detailed mileage log showing the date, destination, purpose of each trip, and miles driven. Save all gas receipts and any other vehicle-related expenses if using the actual expense method. Documentation should clearly distinguish between personal and business use.

IRS Reference

IRS Publication 463 (Travel, Gift, and Car Expenses)

Relevant Industries

FreelancersReal Estate AgentsConsultantsContractors

Popular Related Pages

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

Back to Search