Taxi driver just like any other business incurs expenses. However due to the nature of the business the Mileage expense is one of the most significant expenses a taxi driver incurs and it is deductible. Instead of the burdensome work of keeping all the receipts for vehicle repairs, gas and maintenance, most taxi drivers opt to use the IRS standard mileage rate. When you use the Standard Mileage deduction, you can’t deduct maintenance and repairs, vehicle lease cost, gasoline and its taxes, oil, insurance, and vehicle registration fees. The standard mileage rate includes all these items, as well as depreciation. However, besides the standard mileage the driver can also deduct other expenses as tabulated in the form below.
To keep track of the mileage the drivers are encourage to have a mileage log or have a mileage tracking app and also ensure they have oil change of repair bill that shows mileage in the beginning of the year and end of the year.
The expenses in the fillable form below are for your guidance, please feel free to add any other ordinary and necessary expense that you incurred while operating your business. Please note that the IRS expects you to have a verifiable documented evidence of the expenses that you show in your taxes. Please keep all your records for five years.
Please download and fill the following UBER , LYFT, TAXI BUSINESS INCOME & EXPENSES as you prepare to do your taxes.
( The form is FILLABLE ,Please fill it and email or upload into your account )
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