I have already posted this on my tax formun category but I figured this is for the drivers who do not read my formun
The IRS has relented to raise the Standard Mileage rate but they have increased it as follows:
DUE TO THE HIGH COST OF FUEL:
THE NEW MILEAGE RATES FOR 2011 IS AS FOLLOWS
JANUARY 1, 2011 TO JUNE 30, 2011 WAS $ .51 PER MILE
JULY 1, 2011 TO DECEMBER 31, 2011 IS $ .55 1/2 PER MILE
Don't forget that 2011 you must keep very accurate records for every load that you have, and that would work like this.
Each Load must specify as follows for Cargo Van Drivers:
For Instance:
1. Dates pick up and delivery:
2. Deadhead to shipper
3. Shipper mileage to Receiver
4 Receiver mileage to truck stop or place where layover.
Then a new page for your next load.
IN ORDER TO PROVE YOU MILEAGE YOU MUST KEEP A MILEAGE LOG ON A DAILY BASIS. YOU CANNOT TAKE THE FOLLOWING:
BEGINNING MILEAGE JANUARY 1, ENDING MILEAGE
JUNE 30
BEGINNING MILEAGE JULY 1, ENDING MILEAGE DEC 31.
THE STANDARD MILEAGE DEDUCTION IS NOW A FLAGGED ITEM ON YOUR TAX RETURN FOR AN AUDIT
DO NOT REPORT MORE THAT 95,000 MILES, IF YOU DO YOU WILL DEFINITEY GET AUDITED. IF NOT YOUR LUCKY
DONT FORGET THE IRS CAN AUDIT YOU UP TO 3 YEARS FROM THE TAX YEAR YOU FILED. IF YOU FILED THIS YEAR (2010) ON OCT 15, THEY HAVE UNTIL APRIL 15, 2014 TO AUDIT YOU.
ALSO EVEN IF YOU PUT ON OVER 100,000 MILES TAX KE 15-20% FOR PERSONAL MILES, UNLESS YOU HAVE NO OTHER VEHICLE WHEN YOU TAKE TIME OFF AT HOME.
Franklin Katz, ATP, PA, PB,
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039 Fax: (704) 739-3934
e-mail: [email protected]
Web Site: File Your Return Online
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-
The IRS has relented to raise the Standard Mileage rate but they have increased it as follows:
DUE TO THE HIGH COST OF FUEL:
THE NEW MILEAGE RATES FOR 2011 IS AS FOLLOWS
JANUARY 1, 2011 TO JUNE 30, 2011 WAS $ .51 PER MILE
JULY 1, 2011 TO DECEMBER 31, 2011 IS $ .55 1/2 PER MILE
Don't forget that 2011 you must keep very accurate records for every load that you have, and that would work like this.
Each Load must specify as follows for Cargo Van Drivers:
For Instance:
1. Dates pick up and delivery:
2. Deadhead to shipper
3. Shipper mileage to Receiver
4 Receiver mileage to truck stop or place where layover.
Then a new page for your next load.
IN ORDER TO PROVE YOU MILEAGE YOU MUST KEEP A MILEAGE LOG ON A DAILY BASIS. YOU CANNOT TAKE THE FOLLOWING:
BEGINNING MILEAGE JANUARY 1, ENDING MILEAGE
JUNE 30
BEGINNING MILEAGE JULY 1, ENDING MILEAGE DEC 31.
THE STANDARD MILEAGE DEDUCTION IS NOW A FLAGGED ITEM ON YOUR TAX RETURN FOR AN AUDIT
DO NOT REPORT MORE THAT 95,000 MILES, IF YOU DO YOU WILL DEFINITEY GET AUDITED. IF NOT YOUR LUCKY
DONT FORGET THE IRS CAN AUDIT YOU UP TO 3 YEARS FROM THE TAX YEAR YOU FILED. IF YOU FILED THIS YEAR (2010) ON OCT 15, THEY HAVE UNTIL APRIL 15, 2014 TO AUDIT YOU.
ALSO EVEN IF YOU PUT ON OVER 100,000 MILES TAX KE 15-20% FOR PERSONAL MILES, UNLESS YOU HAVE NO OTHER VEHICLE WHEN YOU TAKE TIME OFF AT HOME.
Franklin Katz, ATP, PA, PB,
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039 Fax: (704) 739-3934
e-mail: [email protected]
Web Site: File Your Return Online
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-
