Standard Mileage Rate vs Actual Vehicle Expenses for 2009, 2010

You may know that because the IRS provides a standard mileage rate for the deduction of vehicle expenses used in your business, you are allowed to choose between this rate and the actual expenses you incur in calculating this deduction.

Because the mileage rate includes nearly all of the expenses you incur it is typically much easier to apply.  All you need are mileage logs and the current rate allowed by the IRS. 

But it may not always provide the best deduction you can get.  By the time you add up all of the expenses you are entitled to for actual expenses, it’s not unlikely they will exceed the standard rate amount you could take. Read More