# Tax filling is around the corner.



## Timlee252525 (Apr 14, 2020)

Question. What is the best way to take deduction when doing delivery? Take the standard mileage deduction or itemize deduction? For 2019 I chose mileage deduction and I was only doing UberX. Now I am only doing UberEAT, Door Dash, and Grubhub.


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## KevinJohnson (Mar 23, 2020)

Operating costs are roughly 25c per mile. The standard mileage deduction is my preference.


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## Mash Ghasem (Jan 12, 2020)

Timlee252525 said:


> Question. What is the best way to take deduction when doing delivery? Take the standard mileage deduction or itemize deduction? For 2019 I chose mileage deduction and I was only doing UberX. Now I am only doing UberEAT, Door Dash, and Grubhub.


Why would you not keep track of mileage details plus what you spent on gas, car washes, oil changes, car repairs, etc, and just go ahead and itemize? It can be different person to person, but, it seems to me that you'd have a fair amount of expenses to deduct.


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## KevinJohnson (Mar 23, 2020)

Mash Ghasem said:


> Why would you not keep track of mileage details plus what you spent on gas, car washes, oil changes, car repairs, etc, and just go ahead and itemize? It can be different person to person, but, it seems to me that you'd have a fair amount of expenses to deduct.


Depreciation. That's why.


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## Mash Ghasem (Jan 12, 2020)

KevinJohnson said:


> Depreciation. That's why.


Depends on each person's situation. With mine, I give all my data to the tax preparer, and each time (so far) it's been more advantageous to itemize.


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## Seamus (Jun 21, 2018)

Mash Ghasem said:


> Why would you not keep track of mileage details plus what you spent on gas, car washes, oil changes, car repairs, etc, and just go ahead and itemize? It can be different person to person, but, it seems to me that you'd have a fair amount of expenses to deduct.


I'm not understanding the question. It's the mileage deduction OR the Actual Expense method. The mileage deduction includes the other items you mentioned. The way your question reads it sounds like mileage PLUS the other. It's probably just me.



Timlee252525 said:


> Question. What is the best way to take deduction when doing delivery? Take the standard mileage deduction or itemize deduction? For 2019 I chose mileage deduction and I was only doing UberX. Now I am only doing UberEAT, Door Dash, and Grubhub.


Everyones situation is different. I would guess the far majority use the standard mileage deduction and only those with a specific set of circumstances use the actual expense method.

Personally, I compare every year and it's not even close for me, I use the standard mileage deduction.


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## Amsoil Uber Connect (Jan 14, 2015)

With that title, had me thinking the IRS extending the deadline to file. Was just on the news.


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## Seamus (Jun 21, 2018)

Amsoil Uber Connect said:


> With that title, had me thinking the IRS extending the deadline to file. Was just on the news.


Are you sure? I can't find that anywhere.


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## Rickos69 (Nov 8, 2018)

Seamus said:


> Are you sure? I can't find that anywhere.


Why extend? I can't wait to get my GH and DD forms so I can file.
I think I will be getting some money back, or at least I can get a credit for next year and
I can send less in every month for ES.
Today I sent in my first ES payment for 2021. ($250)
I have triplet daughters in college. Deductions!!!


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## Mash Ghasem (Jan 12, 2020)

Seamus said:


> I'm not understanding the question. It's the mileage deduction OR the Actual Expense method. The mileage deduction includes the other items you mentioned. The way your question reads it sounds like mileage PLUS the other. It's probably just me.


Original poster is essentially asking whether to itemize deductions, or not.
I was asking why not keep track of every deductible expense, and itemize.


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## KevinJohnson (Mar 23, 2020)

Mash Ghasem said:


> Original poster is essentially asking whether to itemize deductions, or not.
> I was asking why not keep track of every deductible expense, and itemize.


Tell us.

Have you been capturing Depreciation?


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## Mash Ghasem (Jan 12, 2020)

KevinJohnson said:


> Tell us.
> 
> Have you been capturing Depreciation?


Yes, I do have a depreciation amount in the expenses section of my schedule C, that comes from form 4562.

What does that have to do with keeping track of all expenses?


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## Rickos69 (Nov 8, 2018)

I use Turbotax and use the standard mileage deduction.
However, they also allow you to deduct interest from your car loan if you have one.
Also, parking and tolls.


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## Amsoil Uber Connect (Jan 14, 2015)

Seamus said:


> Are you sure? I can't find that anywhere.


Could have been a running behind story, and not extending filing deadline. Reading this while news is on, things get missed. There 8 week extention for my refund is now late. Since I didn't file til Oct 15th.


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## Timlee252525 (Apr 14, 2020)

thanks guys! I made $51k last year doing UE, DD and GB (including the PUA = $16K). I hope not to pay taxes.


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## uberboy1212 (Jan 10, 2017)

Timlee252525 said:


> Question. What is the best way to take deduction when doing delivery? Take the standard mileage deduction or itemize deduction? For 2019 I chose mileage deduction and I was only doing UberX. Now I am only doing UberEAT, Door Dash, and Grubhub.


Hey doofus, when u ask questions and people are cool enough to answer then u should prob give them a like. Just saying


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## SHalester (Aug 25, 2019)

Timlee252525 said:


> I hope not to pay taxes.


good luck with that.


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## kingcorey321 (May 20, 2018)

You never said what country your in.
Here in the states.
Every dollar earned I claim a min of 1 mile driven .
.57 cents federal . No taxes will be owed ever here . 100k earned 100k miles driven . 57000 dollars over lap for owed tax.
How does anybody have to pay ? Please explain this to me . And the average tax for 100k earned if it was a w2 filing single is 21250 taken out of your check including state federal sos . That 57000 over laps that 21250 . 
But you should pay into social security . Have your accountant set that up for you .
Very important .


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## Seamus (Jun 21, 2018)

kingcorey321 said:


> You never said what country your in.
> Here in the states.
> Every dollar earned I claim a min of 1 mile driven .
> .57 cents federal . No taxes will be owed ever here . 100k earned 100k miles driven . 57000 dollars over lap for owed tax.
> ...


Works well until the day you're ever audited and can't substantiate any of your deductions! :roflmao: You've also given other gems of advice such as don't declare any income you didn't get a 1099k for, do what you want the IRS doesn't audit Uber drivers, and the list could go on!!!:thumbup: Here's a novel idea, why not track your mileage and do it the right way?


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## 45821 (Feb 15, 2016)

Timlee252525 said:


> Question. What is the best way to take deduction when doing delivery? Take the standard mileage deduction or itemize deduction? For 2019 I chose mileage deduction and I was only doing UberX. Now I am only doing UberEAT, Door Dash, and Grubhub.


It depends how new your car is. If you have a new car, then Straight Line Depreciation With Expenses is better. If your car is an older model then you want to use Standard Mileage (57.5 cents per mile per IRS in 2020). Now, the thing is that once you start using Standard Mileage then you can not do SLD with Expenses anymore. If your car is at least 4 years old, then Standard Mileage is more advantageous.



Rickos69 said:


> I use Turbotax and use the standard mileage deduction.
> However, they also allow you to deduct interest from your car loan if you have one.
> Also, parking and tolls.


Once you do Standard Mileage, then you can not deduct any expenses that are specific to your vehicle. Parking and Tolls are OK.


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## Uberdriver2710 (Jul 15, 2015)




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## Rickos69 (Nov 8, 2018)

Bon Jovi said:


> It depends how new your car is. If you have a new car, then Straight Line Depreciation With Expenses is better. If your car is an older model then you want to use Standard Mileage (57.5 cents per mile per IRS in 2020). Now, the thing is that once you start using Standard Mileage then you can not do SLD with Expenses anymore. If your car is at least 4 years old, then Standard Mileage is more advantageous.
> 
> 
> Once you do Standard Mileage, then you can not deduct any expenses that are specific to your vehicle. Parking and Tolls are OK.


You are wrong. You can deduct the interest on the car loan.
Turbotax asked me specifically, after I had taken the standard mileage deduction and they subtracted the interest. Please don't argue with me on this point. I am absolutely certain.

[HEADING=1]Car loan interest is tax deductible if it's a business vehicle[/HEADING]
You cannot deduct the actual car operating costs if you choose the standard mileage rate. The standard mileage rate already factors in costs like gas, taxes, and insurance. You can't even deduct depreciation from your business car because that's also factored in.

If you use the standard mileage rate, you are still allowed to deduct the following three actual expenses:


Interest on a car loan
Parking fees and tolls for business trips
Personal property tax that you paid when you bought the vehicle, based on its value
You can deduct these items because they do not factor into the standard mileage rate amount.


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## 45821 (Feb 15, 2016)

Rickos69 said:


> You are wrong. You can deduct the interest on the car loan.
> Turbotax asked me specifically, after I had taken the standard mileage deduction and they subtracted the interest. Please don't argue with me on this point. I am absolutely certain. If you don't want to take the deduction, fine.


You are right, however only business use percentage will be deducted. So it all depends how much in interest one pays and how much one uses it for business. For somebody with vehicle that is under $20000, 5 year loan at 3% the amount that can be deducted is negligible and will not reduce your tax liability by whole lot. So you were mostly right, and I was mostly wrong. I say if anyone has an opportunity then I say do it, everything adds up.


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## Berry mian (Dec 5, 2018)

Timlee252525 said:


> thanks guys! I made $51k last year doing UE, DD and GB (including the PUA = $16K). I hope not to pay taxes.


It' all depends 
If you were paying taxes on unemployment then you would be fine and if you were not paying taxes on unemployment PUA .. get ready to pay back


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## Seamus (Jun 21, 2018)

Bon Jovi said:


> once you start using Standard Mileage then you can not do SLD with Expenses anymore


I'm not sure if I'm miss understanding what you're saying or if you're saying it wrong but a factual point of clarification.

If you use the standard mileage deduction in the _first year_ of the business use of the car you CAN switch to actual expense method in later years and you MUST use the SLD method. You CAN then switch back to the standard mileage method in a later year.
If you use the Actual expense method in the _first year_ of the business use of the car then you are locked into that and CANNOT switch back to the standard mileage deduction.
Just to be clear.


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## Rickos69 (Nov 8, 2018)

Seamus said:


> I'm not sure if I'm miss understanding what you're saying or if you're saying it wrong but a factual point of clarification.
> 
> If you use the standard mileage deduction in the _first year_ of the business use of the car you CAN switch to actual expense method in later years and you MUST use the SLD method. You CAN then switch back to the standard mileage method in a later year.
> If you use the Actual expense method in the _first year_ of the business use of the car then you are locked into that and CANNOT switch back to the standard mileage deduction.
> Just to be clear.


Didn't know that. Thanks.


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## Seamus (Jun 21, 2018)

Rickos69 said:


> Didn't know that. Thanks.


This is very commonly misunderstood. Many believe you can't switch back and forth and while that might be correct in many circumstances, in fact it depends on what you do in the first year of the business use of the car.


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## Rickos69 (Nov 8, 2018)

Seamus said:


> This is very commonly misunderstood. Many believe you can't switch back and forth and while that might be correct in many circumstances, in fact it depends on what you do in the first year of the business use of the car.


Now that you mention it, Turbotax did ask me which one I wanted to use for this year.
They recommended the Standard Miles.
Note : I did my first year of delivery taxes using the Standard Mile Deduction.

Now, you may ask, how have I gotten this far with my taxes without having the GH and DD tax documents?
Well, I have entered my primary employment W2, everything regarding deductions, my ES payments, and I am showing that I will be getting back the majority of my tax withholdings and payments.
Too bad it won't end that way. :roflmao: :roflmao:


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## Seamus (Jun 21, 2018)

Rickos69 said:


> Note : I did my first year of delivery taxes using the Standard Mile Deduction.


Keep in mind it is based on the particular VEHICLE business use expense and not related to your business in general.


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## Rickos69 (Nov 8, 2018)

Seamus said:


> Keep in mind it is based on the particular VEHICLE business use expense and not related to your business in general.


Understood. My primary work has no connection to my car other than my commute.


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## 45821 (Feb 15, 2016)

Seamus said:


> I'm not sure if I'm miss understanding what you're saying or if you're saying it wrong but a factual point of clarification.
> 
> If you use the standard mileage deduction in the _first year_ of the business use of the car you CAN switch to actual expense method in later years and you MUST use the SLD method. You CAN then switch back to the standard mileage method in a later year.
> If you use the Actual expense method in the _first year_ of the business use of the car then you are locked into that and CANNOT switch back to the standard mileage deduction.
> Just to be clear.


Yep, I reversed it. Thx for correction.


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## kingcorey321 (May 20, 2018)

Seamus said:


> Works well until the day you're ever audited and can't substantiate any of your deductions! :roflmao: You've also given other gems of advice such as don't declare any income you didn't get a 1099k for, do what you want the IRS doesn't audit Uber drivers, and the list could go on!!!:thumbup: Here's a novel idea, why not track your mileage and do it the right way?


I never told anybody to not file if there did not receive a 1099k.
I did say that money will NOT be reported to the irs . 
So if they were to file or not . The irs would not know about the money earned .
Why file it ? If it will set a person back on filing fees or screw with there insurance child support so on . 
And yes i will do my 1 a mile . For DD and GH .
I track my miles . And if you pay attention you will see Gh and DD UE LYFT all tell you how many miles you drove .
You can use that as well . 
I use my GPS to track my miles along with the info The statements give me .
I will NEVER PAY TAXES ON RIDESHARE. 
Only a total idiot will ow tax .
Also the IRS says you can also claim all your DEAD MILES . I bet your not claiming these .
All my irs filing is 100 % legal . They are more then welcome to audit me .


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## Seamus (Jun 21, 2018)

@kingcorey321, you are better then a comedian doing stand up comedy! You've been here a long time but forget half the stuff you say.:roflmao:

You're a good guy and you're hearts in the right place but the last thing you should be giving is tax advice! You actually said your _filings are 100% legit and you welcome them to audit you! _ That's hilarious.

Since you insisted here are a few of your gems in your own words:



kingcorey321 said:


> costing me 500 bucks i wright an legal estimate for 3000 on my taxes





kingcorey321 said:


> suggest when you do your taxes you add to the amount they give you up to double.





kingcorey321 said:


> claim double the miles i drove





kingcorey321 said:


> ok . uber sent you a itemized statement . That is not a tax form. Meaning this income is NOT reported to the irs .Meaning nobody will know if you ever worked for uber . No you did not receive a 1099 of any form only a itemized statement . You can uses the statement to claim taxes or for toilet paper whatever you choose . Most people i know use it for toilet paper .





kingcorey321 said:


> Those are not given to the irs and are not 1099 or 1099k.
> I know a lot of people that file them in the trash can where they belong





kingcorey321 said:


> Every dollar i earn i claim 2 miles .


I could post a hundred of them! I don't think you want to be audited! :roflmao: Funny!


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## Amsoil Uber Connect (Jan 14, 2015)

:roflmao: I like his style. It sort of comes from a non taxpayer mind set.

Hell even I said you could just double the mileage uber reports and probably not get audited. if you did it would be collectively for some thing else, but we know that is not the taxpayer way .

The summary Report is not a legal Gov document with an valid OMB control # on it. This is why the new 1099 xxx was created. Uber Lyft found a loop hole up to 20,000 and congress took care of that. So back to 600.

When it comes to Revenue taxable activities, when a payer sends a copy to the service it gets matched up to your Return by front line processors. Everything matches ? Refund issued , payment accepted or a bill sent. But you all , already knew that. :wink:


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## Prius13 (Mar 29, 2017)

Another question. When deducting for standard mileage, can we claim the travel home as deductible? I use Hurdlr app to track mileage dynamically.


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## Seamus (Jun 21, 2018)

Prius13 said:


> Another question. When deducting for standard mileage, can we claim the travel home as deductible? I use Hurdlr app to track mileage dynamically.


You will find disagreements on that. Some believe they are "commuter" miles and non deductible. I use all miles driveway to driveway. If you are worried about it keep your app on available for offers until you reach your driveway. ✅


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## Prius13 (Mar 29, 2017)

Seamus said:


> You will find disagreements on that. Some believe they are "commuter" miles and non deductible. I use all miles driveway to driveway. If you are worried about it keep your app on available for offers until you reach your driveway. ✅


Good point. I have Uber Eats on DF on my way home. May have gotten one ping in three years.

Side topic, I have not been able to download Amazon's 1099. Fathom the irony. Those forms may be hosted on AWS. Lol

Correction. I haven't not been able to download my Flex 1099. Anyone else?


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## Rickos69 (Nov 8, 2018)

Prius13 said:


> Good point. I have Uber Eats on DF on my way home. May have gotten one ping in three years.
> 
> Side topic, I have not been able to download Amazon's 1099. Fathom the irony. Those forms may be hosted on AWS. Lol
> 
> Correction. I haven't not been able to download my Flex 1099. Anyone else?


No downloads for me. I have requested hard copies from both GH and DD.



Seamus said:


> You will find disagreements on that. Some believe they are "commuter" miles and non deductible. I use all miles driveway to driveway. If you are worried about it keep your app on available for offers until you reach your driveway. ✅


Same here. I use Stride.
There are certain things I do to start up.
1. Activate on my Keep Screen On App.
2. Start Stride
3. Turn on my BlueTooth auto On. (Turns on Bluetooth when incoming/outgoing call. Turns it off when done)
Undo above 3 right after I turn off the engine at home.

Its just like the morning 3 S's. Shit Shave and Shower.


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## DJJoeyZ (May 1, 2020)

Is there a penalty if there wasn’t a quarterly file/payment, asking for a (cough) friend.


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## Rickos69 (Nov 8, 2018)

In


DJJoeyZ said:


> Is there a penalty if there wasn't a quarterly file/payment, asking for a (cough)


In theory yes. But, my first year of filing I didnt know, didnt do any ES payments, they didnt penalize me. 
Beyond that, I would say it depends on how much you end up owing in taxes. Also, if you have plenty of W2 withholdings, they again might not penalize you. All this is me speculating though.


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