MN2V Posted April 11, 2011 Report Posted April 11, 2011 A client asked me this question as his boss has offered this deal...We are talking construction business here. Boss owns vehicle and pays insurance and repairs. Employee drives vehicle to and from home and work sites. Can he take employee business expense for gas purchased and/or take mileage expense? Quote
Pacun Posted April 12, 2011 Report Posted April 12, 2011 A client asked me this question as his boss has offered this deal...We are talking construction business here. Boss owns vehicle and pays insurance and repairs. Employee drives vehicle to and from home and work sites. Can he take employee business expense for gas purchased and/or take mileage expense? If they are commuting miles, the answer is no. Quote
Gail in Virginia Posted April 12, 2011 Report Posted April 12, 2011 A client asked me this question as his boss has offered this deal...We are talking construction business here. Boss owns vehicle and pays insurance and repairs. Employee drives vehicle to and from home and work sites. Can he take employee business expense for gas purchased and/or take mileage expense? I am assuming that the employee is to buy the gas for the vehicle, and then take employee business expense for the miles driven? Pacun is right that commuting miles are never deductible. Does the employee go to more than one job site in a day? If so, he might be able to take a percentage of the gas based on the miles driven between job sites versus the total miles driven for commuting and personal. I would hesitate to take mileage because normally that includes depreciation, repairs and other expenses. I am not sure mileage is even available since the employee does not own the vehicle, but after removing commuting miles from the equation is it even worth it? Quote
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