How to Expense Fuel for Taxes
The high price of fuel has many people wondering if there is a way to deduct the cost from their taxes. In most cases, you cannot deduct the cost of fuel from your income on your taxes, such as the miles you drive to and from work. However, there are certain fuel expenses that can be included, such as miles driven for business purposes, charitable purposes or medical purposes. To claim these deductions, you must itemize your deductions using Schedule A.
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Instructions
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1
Calculate the amount of miles you have driven for business purposes. These include miles that you have driven while on the job and from one job to a second job, but not from your home to your job.
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2
Multiply the number of business miles driven by the deduction rate, which is set annually to adjust for inflation. For miles driven in 2009, the rate is $0.55 per mile.
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3
Report the total from step 2, along with any other job expenses as a unreimbursed job expense on Schedule A in the "Job Expenses and Certain Miscellaneous Deductions" section. For 2010, this is line 21.
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4
Calculate the amount of miles driven for charitable purposes, including miles driven to and from community service.
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5
Multiply the number of charity miles driven by the current annual deduction rate. For miles driven in 2009, the rate is $0.14 per mile.
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6
Report the amount from step 5, along with any other charitable deductions, on the cash donations line of the "Gifts to Charity" section of Schedule A. For 2010, it is line 16.
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7
Calculate the amount of medical miles you drove, such as miles driven to hospitals.
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8
Multiply the number of miles driven for medical purposes by the current annual mileage rate. For miles driven in 2009, the rate is $0.24 per mile.
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9
Report the amount from step 8, along with any other medical expenses you incurred, on the medical expenses line in the "Medical and Dental Expenses" section of Schedule A.
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