Hello All!
I apologize if this was covered previously. I did a search and found quite a bit of helpful information on the subject, but not a direct answer to my question...
I really bumped up the amount of shopping I've done this year, which is a good thing, but I'm realizing that I'm going to have to do a lot more work come tax time now. I'm taking a day or two to get my records in order and make sure I have everything written down so, at the end of the year, I don't have so much calculating to do. (I'm actually really organized, so this shouldn't be too bad). I do have a question about calculating mileage, however.
According to the IRS, I cannot claim mileage to an area where I would normally go for work. This seems like a really gray area, since they do not provide an exact number. Do I calculate any mileage I accumulate, minus the distance to and from the nearest small town? Can I claim mileage once I get to town, if I make multiple stops in the area before coming home? OR... Can I only claim mileage accumulated on long trips??
Any advice (or corrections to my assumptions) would be greatly appreciated.
Also, on a side note, what mileage numbers do you try to hit to keep your tax payment down? Is there a good ratio of miles to dollars to look for?