Best Certified Public Accountants in Jackson, TN

Business owners can generally deduct their business-related vehicle expenses, but they bear the burden of proving they’re entitled to the deduction. Taxpayers must keep detailed contemporaneous records of each trip (the date, time, miles driven and business purpose), even if the standard mileage rate is claimed. In one U.S. Tax Court case, a married couple claimed $13,596 in car and truck expenses , supported only by mileage logs that weren’t kept contemporaneously. The court disallowed the entire deduction, stating that “subsequently prepared mileage records don’t have the same high degree of credibility as those made at or near the time the vehicle was used.” (TC Memo 2022-113)...