Thread: tax question!

I have a question regarding claiming miles for work. From what I have read you end up getting somewhere between $.40-$.50 per mile that is related to work. I drive an extensive amount for work(about 25k this year), so I do plan on claiming this since my car is basically dead because of this. I feel like I am missing something though, becuase I don't think I will be getting back $10-$12.5k on my returns because of miles. Is there a cap on how much I can receive back? I have everything well documented as well as I saved all the receipts so I'm not worried about that stuff. I am just trying to figure out how much I should expect to receive back.

Thanks

Are you self-employed?

Two options: standard mileage rate or actual expenses. 2011 mileage rate $.51/mi

If self-employed these are normal business expenses.

If you are an employee it is an miscellaneous itemized deduction subject to the 2% of Adjusted Gross Income rule.

Also remember that business miles are very strict. This is strictly business to business location driving, and does not include home to business location or business location to lunch miles.

Edit: There are so many factors that go into this. Here's a link that will help you out:
http://www.irs.gov/publications/p463/index.html