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    Mileage again

    Was just reading another thread about subject when I got a phone call from client who
    drives cars for local dealership but not as employee; yes, 1099 misc. When dealer needs
    cars from a distant location, they call drivers who report to their office, are driven to the distant location and then drive cars back to dealership.

    So client hears from other guys that they 'take" their mileage from home to dealership and
    back since they are CONSIDERED self employed.

    No, no home office; no need for one.

    Anybody else have these questions?
    ChEAr$,
    Harlan Lunsford, EA n LA

    #2
    Originally posted by ChEAr$ View Post
    Anybody else have these questions?
    Not as ridiculous.

    D

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      #3
      Yes I get that sort of question. Either you can successfully explain that your client has a better tax preparer than their coworkers do who is going to keep them out of future audits, or they abandon you and go to whoever preparers the coworkers return. It depends on how well you can explain and show them why it's not allowed (showing IRS pages of publications works well for me). It also depends on how willing they are to file a correct return.

      Some people no matter what you do will insist on bogus deductions. In which case they run off to find that preparer who is doing it for their buddies (until shut down.)

      But yes, it's a very common misconception that anyone who is self employed can deduct all their miles. Often when I ask about commute miles people are like "But I'm self employed!" (with no home office)

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