Entries by Amanda Dubs

Mileage Substantiation

How do you keep track of your business mileage and could you lose that deduction in an audit?

If you are a business owner, keeping track of your business travel and mileage can provide a great benefit on your tax return, but properly recording your mileage is vital. Mileage expenses for taxpayers are vulnerable to Internal Revenue Service (IRS) examinations and audits due to the higher substantiation requirements that are needed to prove mileage expenses. The substantiation requirement applies to all business, whether they are operated as sole proprietors, partnerships, or corporations.