Self-employment is on the rise, and there are many reasons for this. One of the most attractive aspects of this is the ability to set your own hours and work from anywhere.
Self-employed mileage deduction in 2022 is one way that the government is recognizing this flexibility and helping to encourage independent contractors and other self-employed taxpayers.
What can self-employed people deduct from their taxes?
The mileage claim on taxes for the self-employed is available in 2022 and is based on the business mileage you take in a year.
This deduction which was 58.5 cents per business mile in the first half of 2022 has been increased to 62.5 cents per business mile from June 9, 2022, onwards. Self-employed taxpayers can claim this write-off when they use their vehicles for business purposes.
If you are self-employed, the miles you drive can be included in common tax deductions. This means that you can claim a deduction for the miles you travel to and from your business.
Car-related write-offs
Self-employment tax deductions provide a valuable incentive for self-employed individuals. It can help reduce your tax burden by writing off business expenses. This makes it easier to operate your business.
What expenses are tax deductible? The self-employed can deduct the purchase of a vehicle in 2022 and also gain tax benefits on the following:
- Registration fees and taxes
- Vehicle loan interest
- Gas and oil
- Tires
- Maintenance and repairs
- Car depreciation
- Rental or lease payments
- Insurance
Mileage tax deduction for the self-employed
The mileage tax deduction for the self-employed is a valuable incentive for self-employed individuals. If you are self-employed, be sure to write off a car for business and check out mileage tracking methods like the MileageWise.
You may be able to save more than $12,000 as a mileage tax deduction for 2022 for each of the cars that you use for business.
MileageWise as a mileage tracking method
This app offers several benefits that you may not find in other mileage tracker apps:
- Use MileageWise’s AI-powered technology to feed in information about the past journeys that you have completed to your various work sites (but probably forgotten) to recreate an accurate mileage log.
- Get more organized with a VIP service. This company creates mileage logs for the self-employed based on trips completed on their different vehicles for business use.
- Track your trips with Bluetooth or manual tracking, Plug’N’Go phone charge tracking, and vehicle movement monitoring.
- Log your miles with a 100% IRS-approved mileage log.
MileageWise offers self-employed taxpayers a 14-day free trial of their mileage tracker app to maintain multiple vehicle mileage logs for tax deduction purposes.
