It's that time of year again, to file your taxes, but did you know you may be eligible to write off moving / transportation expenses in your auto related deductions?
1. There are tons of auto related expenses eligible for deductions such as car / lease payments, tolls, parking, mileage, fuel, oil, repairs, registration, insurance these deductions are listed under Travel, Entertainment, Car Expenses on the IRS.gov website. Most of these items are available if you are self-employed, consultant, contractor and use your vehicle for job-related expenses only. If your company already pays for these expenses, than you can not write off these deductions.
2. All of the auto related expenses, should be tracked or logged in a journal or on a spreadsheet, each expense itemized. It is a good idea to retain your receipts in a folder or box. There are many options available to track your daily expense using software available online.
3. If you have relocated due to a job transfer, your moving expenses and auto transportation expense can be deducted. Check with your company, if they offer reimbursement for these expenses and the total amount available.
It's suggested to review all deductions with an accountant or irs.gov on tips to maximize your deductions.