# IRS Mileage on rented vehicles



## Ubercology (Oct 17, 2016)

Has anyone submitted tax returns using milage done in a rented vehicle. I have waited too long on the IRS phne queue to ask that question and wondered if someone else has checked that and got an answwr from the IRS or a CPA.


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## UberTaxPro (Oct 3, 2014)

Ubercology said:


> Has anyone submitted tax returns using milage done in a rented vehicle. I have waited too long on the IRS phne queue to ask that question and wondered if someone else has checked that and got an answwr from the IRS or a CPA.


If you do not *own* or *lease* the vehicle you can't use the standard mileage rate. That's because the standard mileage rate includes an allowance for depreciation (wear and tear) and only the owner or lessor is allowed to claim that. The question for you is your car a rental or a lease?


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## Ubercology (Oct 17, 2016)

UberTaxPro said:


> If you do not *own* or *lease* the vehicle you can't use the standard mileage rate. That's because the standard mileage rate includes an allowance for depreciation (wear and tear) and only the owner or lessor is allowed to claim that. The question for you is your car a rental or a lease?


Rent, so I cannot take the milage deduction.


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## UberTaxPro (Oct 3, 2014)

Ubercology said:


> Rent, so I cannot take the milage deduction.


I'm 99% sure. Wouldn't the actual rent expense be more than the mileage anyway? Can you change the contract to a lease?


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## SEAL Team 5 (Dec 19, 2015)

Ubercology said:


> Rent, so I cannot take the milage deduction.


Nope, you can just deduct your actual cost. Rental, insurance, gas and any other fees incurred with the lease/rental.


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## Mars Troll Number 4 (Oct 30, 2015)

Ubercology said:


> Has anyone submitted tax returns using milage done in a rented vehicle. I have waited too long on the IRS phne queue to ask that question and wondered if someone else has checked that and got an answwr from the IRS or a CPA.


You can deduct actual costs... IE the total amount you are paying to rent the vehicle. You will need receipts for gas as well.

This is how taxi drivers who are ICs do it. I can write off my vehicle lease, Gasoline, and credit card service charges, and tolls, (the entirety of my costs) but i can't deduct by the mile.


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