# UI income Cares Act 2020



## Jimmy44 (Jan 12, 2020)

Sorry if this has already been discussed but are there going to be any special Cares act deductions for UI in 2020 ?

Are there going to be any CARES act payment options for tax owed ?

Thanks in advance


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## Daisey77 (Jan 13, 2016)

What exactly are you trying to ask? If you had taxes withheld, you should be fine. You shouldn't need any deductions or credits. if they gave you any tax credits or deductions for the unemployment, they not only supplemented your income for the year, they did so for free. To be honest, I'm for the first time getting a refund since I've been doing rideshare. Out of the total taxes they withheld from my unemployment, I'm getting half of it back.

As usual, if you owe, I'm sure they'll set up an installment plan. that's pretty typical

Otherwise, you got your stimulus coming LOL


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## islanddriver (Apr 6, 2018)

There was talk about not taking the federal form Unemployment going into the new Cares Act. but nothing as yet. 
[HEADING=3][/HEADING]


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## Jimmy44 (Jan 12, 2020)

islanddriver said:


> There was talk about not taking the federal form Unemployment going into the new Cares Act. but nothing as yet.
> [HEADING=3][/HEADING]


I don't understand what that means.
Unemployment would not be taxable income ?
I heard that they were talking about 10 thousand of UI not being taxable.


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## Jon Stoppable (Dec 11, 2019)

That is a proposed bill in Congress, no action yet. Humans for which unemployment benefits increased their tax due should wait to file if they owe money; or if due a refund, file now and be prepared to file an amended return to claim additional refund when and if that provision passes.

https://www.congress.gov/bill/117th-congress/senate-bill/175/actions?r=22&s=1


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## Jimmy44 (Jan 12, 2020)

Jon Stoppable said:


> That is a proposed bill in Congress, no action yet. Humans for which unemployment benefits increased their tax due should wait to file if they owe money; or if due a refund, file now and be prepared to file an amended return to claim additional refund when and if that provision passes.
> 
> https://www.congress.gov/bill/117th-congress/senate-bill/175/actions?r=22&s=1


Thank you !!!
I hope it's passed.
Also do you know if they may do anything with early withdrawals from IRA because of pandemic ?
I know they are letting you spread the income over 3 years.


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## islanddriver (Apr 6, 2018)

Unemployment is Taxable both Federal and NY State tax. .If they pass the Bill then as written the first $10,000. will not be taxed by the Federal Tax. As far as IRA, 401 withdrawals it is just the 3 years.


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## Jimmy44 (Jan 12, 2020)

islanddriver said:


> Unemployment is Taxable both Federal and NY State tax. .If they pass the Bill then as written the first $10,000. will not be taxed by the Federal Tax. As far as IRA, 401 withdrawals it is just the 3 years.


Thanks for that information.
The 10 thousand UI deduction would help a lot of people.


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## Daisey77 (Jan 13, 2016)

Jimmy44 said:


> Thanks for that information.
> The 10 thousand UI deduction would help a lot of people.


Did you have taxes withheld? I only give the 10% Federal and 0 state all together I'm getting a $900 refund. They kept out 1930 dollars in taxes and I'm getting half of it back so even if you didn't have taxes withheld it can't set you back that bad, I wouldn't think. Unless you didn't drive. I drove the whole pandemic. So I still had all my mileage to write off on top of actually paying taxes during the year.


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## Jimmy44 (Jan 12, 2020)

Daisey77 said:


> Did you have taxes withheld? I only give the 10% Federal and 0 state all together I'm getting a $900 refund. They kept out 1930 dollars in taxes and I'm getting half of it back so even if you didn't have taxes withheld it can't set you back that bad, I wouldn't think. Unless you didn't drive. I drove the whole pandemic. So I still had all my mileage to write off on top of actually paying taxes during the year.


I worked from Jan. 1st. until March 10th.
I did have them withhold from UI.
This year I am sure IRS is not going to audit me if I show a loss.
Thanks for the information.
Be safe out there.


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## RideShare_Hustler (Jun 18, 2020)

Lol I'm about to file for 2020

148k gross and 47k in expenses &#128128;

probably 20-30k in taxes.

say a prayer for me @Jimmy44


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## Daisey77 (Jan 13, 2016)

Jimmy44 said:


> I worked from Jan. 1st. until March 10th.
> I did have them withhold from UI.
> This year I am sure IRS is not going to audit me if I show a loss.
> Thanks for the information.
> Be safe out there.


It has to be your miles or lack of that's hurting you.


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## islanddriver (Apr 6, 2018)

Daisey77 said:


> Did you have taxes withheld? I only give the 10% Federal and 0 state all together I'm getting a $900 refund. They kept out 1930 dollars in taxes and I'm getting half of it back so even if you didn't have taxes withheld it can't set you back that bad, I wouldn't think. Unless you didn't drive. I drove the whole pandemic. So I still had all my mileage to write off on top of actually paying taxes during the year.


Lucky you I have to pay $1400. Had to taxes withheld from UI both state and federal also had IRA withdrawal had 20% withheld from that ubered.Jan and Feb also SS.the $10,000 would give me a refund if we get it other wise the stimulus $1400. Goes back to the government .oh well can't really complaint I did get UI.


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## Daisey77 (Jan 13, 2016)

islanddriver said:


> Lucky you I have to pay $1400. Had to taxes withheld from UI both state and federal also had IRA withdrawal had 20% withheld from that ubered.Jan and Feb also SS.the $10,000 would give me a refund if we get it other wise the stimulus $1400. Goes back to the government .oh well can't really complaint I did get UI.


I think you might be in the same position as Jimmy. I'm guessing not having the mileage deduction comparable to the years prior is playing the role. Try plugging in your typical annual mileage and see how that affects your final numbers

Is that normally what you owe every year or is that higher or lower than what you typically owe?


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## Jimmy44 (Jan 12, 2020)

RideShare_Hustler said:


> Lol I'm about to file for 2020
> 
> 148k gross and 47k in expenses &#128128;
> 
> ...


Don't forget your mileage deduction.
Good Luck ?



Daisey77 said:


> I think you might be in the same position as Jimmy. I'm guessing not having the mileage deduction comparable to the years prior is playing the role. Try plugging in your typical annual mileage and see how that affects your final numbers
> 
> Is that normally what you owe every year or is that higher or lower than what you typically owe?


Mileage is key


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## RideShare_Hustler (Jun 18, 2020)

Jimmy44 said:


> Don't forget your mileage deduction.
> Good Luck ?


My CPA told me I have to choose either miles or the rest of my vehicle expenses. If I do miles I'll only deduct 25k instead of 47k for gas, tolls..etc.


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## Jimmy44 (Jan 12, 2020)

RideShare_Hustler said:


> My CPA told me I have to choose either miles or the rest of my vehicle expenses. If I do miles I'll only deduct 25k instead of 47k for gas, tolls..etc.


Good advice every person is different.
Vehicle expenses go in schedule C I believe.


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## Jon Stoppable (Dec 11, 2019)

Jimmy44 said:


> Thank you !!!
> I hope it's passed.
> Also do you know if they may do anything with early withdrawals from IRA because of pandemic ?
> I know they are letting you spread the income over 3 years.


Humans may also be forgiven the 10% early withdrawal penalty under very lenient terms:

https://www.irs.gov/newsroom/relief...-distributions-or-loans-from-retirement-plans


RideShare_Hustler said:


> My CPA told me I have to choose either miles or the rest of my vehicle expenses. If I do miles I'll only deduct 25k instead of 47k for gas, tolls..etc.


Tolls may be separately deducted when using the standard mileage rate.






Topic No. 510 Business Use of Car | Internal Revenue Service


Topic No. 510 Business Use of Car




www.irs.gov


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## IRME4EVER (Feb 17, 2020)

Jimmy44 said:


> I don't understand what that means.
> Unemployment would not be taxable income ?
> I heard that they were talking about 10 thousand of UI not being taxable.


 Unemployment PUA is taxable!! I was smart and them take out taxes. You do get a 12,000.00 standard deduction. But you also have to report your earnings from Uber regardless if you got a 1099-K or not. 
I just got a yearly (monthly) summary, printed it out. Uber said I made 12,441.81 last year, but they charged me 4,315.90 for their fees. So I made 8,125.91. My mileage was 10,725, standard deduction is 50% = 5,362.50. I can add my phone service as a deduction of 250.00, so now it's 5112.50 that I have to claim. 
I made over 18,000.00 in PUA last year with taxes taken out.
18,000.00 + 5112.00 = 23,112.00 - 12,000.00 = 11,112.00 that I actually pay taxes on. 
Dropped my tax papers off Tuesday and picking them up tomorrow (19th). 
UBER MAKES SURE THEY SCREW THEIR DRIVERS OVER COME TAX TIME. The percentage on mile deductions keeps going down.
IF YOU COLLECTED ANY MONEY FROM UNEMPLOYMENT THE IRS HAS BEEN NOTIFIED.


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## Jimmy44 (Jan 12, 2020)

Jon Stoppable said:


> Humans may also be forgiven the 10% early withdrawal penalty under very lenient terms:
> 
> https://www.irs.gov/newsroom/relief...-distributions-or-loans-from-retirement-plans
> 
> ...


Thanks for the info



IRME4EVER said:


> Unemployment PUA is taxable!! I was smart and them take out taxes. You do get a 12,000.00 standard deduction. But you also have to report your earnings from Uber regardless if you got a 1099-K or not.
> I just got a yearly (monthly) summary, printed it out. Uber said I made 12,441.81 last year, but they charged me 4,315.90 for their fees. So I made 8,125.91. My mileage was 10,725, standard deduction is 50% = 5,362.50. I can add my phone service as a deduction of 250.00, so now it's 5112.50 that I have to claim.
> I made over 18,000.00 in PUA last year with taxes taken out.
> 18,000.00 + 5112.00 = 23,112.00 - 12,000.00 = 11,112.00 that I actually pay taxes on.
> ...


Interesting



IRME4EVER said:


> Unemployment PUA is taxable!! I was smart and them take out taxes. You do get a 12,000.00 standard deduction. But you also have to report your earnings from Uber regardless if you got a 1099-K or not.
> I just got a yearly (monthly) summary, printed it out. Uber said I made 12,441.81 last year, but they charged me 4,315.90 for their fees. So I made 8,125.91. My mileage was 10,725, standard deduction is 50% = 5,362.50. I can add my phone service as a deduction of 250.00, so now it's 5112.50 that I have to claim.
> I made over 18,000.00 in PUA last year with taxes taken out.
> 18,000.00 + 5112.00 = 23,112.00 - 12,000.00 = 11,112.00 that I actually pay taxes on.
> ...


Interesting



Jon Stoppable said:


> Humans may also be forgiven the 10% early withdrawal penalty under very lenient terms:
> 
> https://www.irs.gov/newsroom/relief...-distributions-or-loans-from-retirement-plans
> 
> ...


Can't you use vehicle depreciation as well ?
Computer depreciation ?
Home office ?


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## RideShare_Hustler (Jun 18, 2020)

Jon Stoppable said:


> Tolls may be separately deducted when using the standard mileage rate.


My vehicle payments were higher than the total mileage I can write off as depreciation, it wouldn't make sense to count my mileage and void my other bigger expenses.


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## Daisey77 (Jan 13, 2016)

IRME4EVER said:


> Unemployment PUA is taxable!! I was smart and them take out taxes. You do get a 12,000.00 standard deduction. But you also have to report your earnings from Uber regardless if you got a 1099-K or not.
> I just got a yearly (monthly) summary, printed it out. Uber said I made 12,441.81 last year, but they charged me 4,315.90 for their fees. So I made 8,125.91. My mileage was 10,725, standard deduction is 50% = 5,362.50. I can add my phone service as a deduction of 250.00, so now it's 5112.50 that I have to claim.
> I made over 18,000.00 in PUA last year with taxes taken out.
> 18,000.00 + 5112.00 = 23,112.00 - 12,000.00 = 11,112.00 that I actually pay taxes on.
> ...


Actually your mileage deduction should be this










Don't forget to add in any cases of water snacks, or cleaning supplies for the vehicle. If you bought a jump starter portable vacuum . . . even your Pandora subscription. Anything fixed on your car due to passenger damaging it. Rideshare insurance or roadside assistance. Usually a part of your license plate renewal



Jimmy44 said:


> Can't you use vehicle depreciation as well ?
> Computer depreciation ?
> Home office ?


I think depreciation is only with actual expense or when you go to sell the vehicle. I'm honestly not sure how that works but I haven't got it I don't think. Home office, be careful with that one. That's 1 of the things that triggers an audit. Make sure you read up on the rules on that


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## Jimmy44 (Jan 12, 2020)

RideShare_Hustler said:


> My vehicle payments were higher than the total mileage I can write off as depreciation, it wouldn't make sense to count my mileage and void my other bigger expenses.


Makes sense



Daisey77 said:


> Actually your mileage deduction should be this
> 
> View attachment 566349
> 
> ...


Will do.
How about vehicle repairs and maintenance ?


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## Jon Stoppable (Dec 11, 2019)

RideShare_Hustler said:


> My vehicle payments were higher than the total mileage I can write off as depreciation, it wouldn't make sense to count my mileage and void my other bigger expenses.


That's a lot of math for a bear to do in bear's head. You have to evaluate your figures for yourself. If you have a car loan, then that interest is separately deductible. Tolls, incidentals, etc., are separately deductible.

Read the link bear posted. Bear can't read; bear has to use text reader app to hear and voice-to-text to post. So it's very tiring for bear to "type" stuff that bear has already posted.

The mileage rate includes gas, repairs, maintenance, insurance, and depreciation. Compare that with your actuals and decide.

Oddly, the standard mileage rate includes lease payments (if you lease), but doesn't include interest (if you buy with a loan). Bear would point out that lease payments are economically a combination of depreciation and interest, but the IRS doesn't seem to account for that. So humans that borrow for a car may be in a better position with respect to deductions than humans that lease (given an equivalent effective interest rate), because they can take standard mileage + interest.

Bear does not worry about that, because bear just takes cars from humans that have been eaten. So it's standard mileage rate for bear!


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## islanddriver (Apr 6, 2018)

Daisey77 said:


> I think you might be in the same position as Jimmy. I'm guessing not having the mileage deduction comparable to the years prior is playing the role. Try plugging in your typical annual mileage and see how that affects your final numbers
> 
> Is that normally what you owe every year or is that higher or lower than what you typically owe?


Normally refund of that amount.


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## RideShare_Hustler (Jun 18, 2020)

Jon Stoppable said:


> The mileage rate includes gas, repairs, maintenance, insurance, and depreciation. Compare that with your actuals and decide.


Maybe it's possible to do in your state, not in nyc from what my CPA told me. It's either the miles driven X 50 cents or you calculate the rest of your expenses without calculating miles.


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## Jimmy44 (Jan 12, 2020)

RideShare_Hustler said:


> Maybe it's possible to do in your state, not in nyc from what my CPA told me. It's either the miles driven X 50 cents or you calculate the rest of your expenses without calculating miles.


That's what I think CT is


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## islanddriver (Apr 6, 2018)

Jimmy44 said:


> That's what I think CT is


Sorry. But it's the same in all states it's federal not state . Either milage or actual. Not both.


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## Seamus (Jun 21, 2018)

RideShare_Hustler said:


> what my CPA told me. It's either the miles driven X 50 cents


That's wrong, you may need a new CPA. For the 2020 tax year if you choose the standard mileage deduction it's the miles driven x 57.5 cents. That's quite a bit more money than you're CPA told you.



RideShare_Hustler said:


> My CPA told me I have to choose either miles or the rest of my vehicle expenses. If I do miles I'll only deduct 25k instead of 47k for gas, tolls..etc.


Smart. 2020 is a unique tax year due to circumstances. Most automatically use the standard mileage deduction every year but if your vehicle is financed or you had major repairs and didn't drive as much as you normally do thios may be the year to switch to actual expenses.


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## Jon Stoppable (Dec 11, 2019)

RideShare_Hustler said:


> Maybe it's possible to do in your state, not in nyc from what my CPA told me. It's either the miles driven X 50 cents or you calculate the rest of your expenses without calculating miles.


Where did bear say that you could take actual + mileage? Bear didn't, you have to choose. But not all expenses are included in the mileage rate, some are additional. Read the IRS link bear posted. If you don't believe the IRS site, bear cannot help you. That is a human problem, as bears don't pay tax as we don't have the same rights or obligations as humans. For example, humans cannot be legally hunted. At least in most states.






Topic No. 510 Business Use of Car | Internal Revenue Service


Topic No. 510 Business Use of Car




www.irs.gov





"*Note:* Other car expenses for parking fees and tolls attributable to business use are separately deductible, whether you use the standard mileage rate or actual expenses."

https://www.irs.gov/publications/p463#en_US_2019_publink100033944
_"
*Interest.*
If you are an employee, you can't deduct any interest paid on a car loan. This applies even if you use the car 100% for business as an employee. 
However, if you are self-employed and use your car in your business, you can deduct that part of the interest expense that represents your business use of the car. For example, if you use your car 60% for business, you can deduct 60% of the interest on Schedule C (Form 1040 or 1040-SR). You can't deduct the part of the interest expense that represents your personal use of the car.

*Personal property taxes.*
If you itemize your deductions on Schedule A (Form 1040 or 1040-SR), you can deduct on line 5c state and local personal property taxes on motor vehicles. You can take this deduction even if you use the standard mileage rate or if you don't use the car for business.

If you are self-employed and use your car in your business, you can deduct the business part of state and local personal property taxes on motor vehicles on Schedule C (Form 1040 or 1040-SR), or Schedule F (Form 1040 or 1040-SR). If you itemize your deductions, you can include the remainder of your state and local personal property taxes on the car on Schedule A (Form 1040 or 1040-SR).

*Parking fees and tolls.*
In addition to using the standard mileage rate, you can deduct any business-related parking fees and tolls. (Parking fees you pay to park your car at your place of work are nondeductible commuting expenses.) "

_


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## Seamus (Jun 21, 2018)

Jon Stoppable said:


> Where did bear say that you could take actual + mileage? Bear didn't, you have to choose. But not all expenses are included in the mileage rate, some are additional. Read the IRS link bear posted. If you don't believe the IRS site, bear cannot help you. That is a human problem, as bears don't pay tax as we don't have the same rights or obligations as humans. For example, humans cannot be legally hunted. At least in most states.
> 
> 
> 
> ...


You have posted three explicit published materials as well as 5 posts of explanations. Please try and be just a little more thorough in your explanations if you will. :thumbup::roflmao:


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## Jon Stoppable (Dec 11, 2019)

Seamus said:


> You have posted three explicit published materials as well as 5 posts of explanations. Please try and be just a little more thorough in your explanations if you will. :thumbup::roflmao:


Bear will try harder! Bear is not very familiar with human discourse :frown: Bear will continue his explanation with reference to 26 USC 161:

https://www.law.cornell.edu/uscode/text/26/161


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## Older Chauffeur (Oct 16, 2014)

RideShare_Hustler said:


> My vehicle payments were higher than the total mileage I can write off as depreciation, it wouldn't make sense to count my mileage and void my other bigger expenses.


I think that you may have misunderstood your CPA. You can't deduct the entire loan payments, only the interest, and then only the percentage of it based on business use vs personal use. You need a contemporaneous mileage log to arrive at that percentage. Now, if you lease the vehicle, you can deduct the portion of the payments applicable to business use.
If you own the vehicle, and in the first year you use it for business you use actual expenses, you have to stick with that method for as long as you use the vehicle. Start with using the SMR, however, and you can switch between methods year to year. If you lease, you have to choose a method the first year and stick with it for the entire term of the lease.
Google IRS Pub 463 and read the section dealing with business use of vehicles.


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## RideShare_Hustler (Jun 18, 2020)

Seamus said:


> 57.5 cents.


That's what I meant. I always forget as I never use that method as my actual expenses are always higher.



Older Chauffeur said:


> I think that you may have misunderstood your CPA. You can't deduct the entire loan payments, only the interest, and then only the percentage of it based on business use vs personal use. You need a contemporaneous mileage log to arrive at that percentage. Now, if you lease the vehicle, you can deduct the portion of the payments applicable to business use.
> If you own the vehicle, and in the first year you use it for business you use actual expenses, you have to stick with that method for as long as you use the vehicle. Start with using the SMR, however, and you can switch between methods year to year. If you lease, you have to choose a method the first year and stick with it for the entire term of the lease.
> Google IRS Pub 463 and read the section dealing with business use of vehicles.


I'm not sure what you mean by loan. I've always used actual expenses because they are always higher than adding up all the miles. For instance, my cellphone bill is 90% work use, my vehicle is at 100% work use, and it's financed.


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## Jimmy44 (Jan 12, 2020)

RideShare_Hustler said:


> That's what I meant. I always forget as I never use that method as my actual expenses are always higher.
> 
> I'm not sure what you mean by loan. I've always used actual expenses because they are always higher than adding up all the miles. For instance, my cellphone bill is 90% work use, my vehicle is at 100% work use, and it's financed.


So you have a second car for personal use ?


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## RideShare_Hustler (Jun 18, 2020)

Jimmy44 said:


> So you have a second car for personal use ?


Not as of this moment, i rarely go anywhere as we are still pretty much closed down for most activities here. I really want to get a personal vehicle as things are starting to open up, but I'm afraid I would rarely use it as I'm always working.


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## Older Chauffeur (Oct 16, 2014)

RideShare_Hustler said:


> That's what I meant. I always forget as I never use that method as my actual expenses are always higher.
> 
> I'm not sure what you mean by loan. I've always used actual expenses because they are always higher than adding up all the miles. For instance, my cellphone bill is 90% work use, my vehicle is at 100% work use, and it's financed.


If you bought and financed the car, as opposed to leasing, you have a loan. You're making payments, including interest. Only the interest is deductible, not the amount going against the loan balance each month, and only the portion of that interest applied to business use. On the vehicle expense worksheet there are questions regarding business and personal miles, and whether you have another car for personal use. Be careful, having only one car and claiming 100% business use is a red flag to the IRS compliance folks. And you definitely need a mileage log.


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## Jimmy44 (Jan 12, 2020)

RideShare_Hustler said:


> Not as of this moment, i rarely go anywhere as we are still pretty much closed down for most activities here. I really want to get a personal vehicle as things are starting to open up, but I'm afraid I would rarely use it as I'm always working.


I have a Prius for business that I am making payments on.
I kept my 2009 Camary for personal use.


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## RideShare_Hustler (Jun 18, 2020)

Older Chauffeur said:


> If you bought and financed the car, as opposed to leasing, you have a loan. You're making payments, including interest. Only the interest is deductible, not the amount going against the loan balance each month, and only the portion of that interest applied to business use. On the vehicle expense worksheet there are questions regarding business and personal miles, and whether you have another car for personal use. Be careful, having only one car and claiming 100% business use is a red flag to the IRS compliance folks. And you definitely need a mileage log.


I will keep it in mind and get another CPA's input on this.Thanks for sharing.



Jimmy44 said:


> I have a Prius for business that I am making payments on.
> I kept my 2009 Camary for personal use.


They are very reliable vehicles and inexpensive to maintain. Good choices IMO. My Sienna for work is at 38k right now. I think I can get at least 200k miles out of it.


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## Daisey77 (Jan 13, 2016)

RideShare_Hustler said:


> That's what I meant. I always forget as I never use that method as my actual expenses are always higher.
> 
> I'm not sure what you mean by loan. I've always used actual expenses because they are always higher than adding up all the miles. For instance, my cellphone bill is 90% work use, my vehicle is at 100% work use, and it's financed.


I don't understand how your actual expenses are higher than your mileage. It's possible but I drive full time with 95% of my miles being for work and my actual expenses don't come close to exceeding my mileage. Last year I actually figured it out both ways just to see. I think I was $5,000 to $7,000 below mileage deduction. My car payments are not exactly cheap either .


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## RideShare_Hustler (Jun 18, 2020)

Daisey77 said:


> I don't understand how your actual expenses are higher than your mileage. It's possible but I drive full time with 95% of my miles being for work and my actual expenses don't come close to exceeding my mileage. Last year I actually figured it out both ways just to see. I think I was $5,000 to $7,000 below mileage deduction. My car payments are not exactly cheap either .


It could be a mistake on my part or the CPA not explaining it correctly to me.

Considering that they want to charge me 600 to prepare my taxes, I'm getting a second and third opinion.


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## SHalester (Aug 25, 2019)

RideShare_Hustler said:


> Considering that they want to charge me 600 to prepare my taxes,


if the most complictated portion of your tax package is the schedule C, you are indeed being ripped off.


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## Daisey77 (Jan 13, 2016)

RideShare_Hustler said:


> It could be a mistake on my part or the CPA not explaining it correctly to me.
> 
> Considering that they want to charge me 600 to prepare my taxes, I'm getting a second and third opinion.


Do TurboTax self-employed version through Uber for free. it walks you through everything.


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## Another Uber Driver (May 27, 2015)

https://www.yahoo.com/money/unemployed-workers-may-face-a-surprise-tax-bill-212151674.html


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## islanddriver (Apr 6, 2018)

Another Uber Driver said:


> https://www.yahoo.com/money/unemployed-workers-may-face-a-surprise-tax-bill-212151674.html


Nothing New been like this for years. In NYS they ask you if you want Taxes withheld when you first sign up for Unemployment.


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## Trafficat (Dec 19, 2016)

RideShare_Hustler said:


> That's what I meant. I always forget as I never use that method as my actual expenses are always higher.


You are probably driving the wrong car (or at least not the most profitable choice), unless you're driving UberBlackXL or something. I mean, I don't know for sure. I saw your $100K+ earnings but still, my actual expenses have always been a lot less than the standard mileage deduction.



RideShare_Hustler said:


> My vehicle payments were higher than the total mileage I can write off as depreciation, it wouldn't make sense to count my mileage and void my other bigger expenses.


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## Judge and Jury (Oct 19, 2019)

Jon Stoppable said:


> Where did bear say that you could take actual + mileage? Bear didn't, you have to choose. But not all expenses are included in the mileage rate, some are additional. Read the IRS link bear posted. If you don't believe the IRS site, bear cannot help you. That is a human problem, as bears don't pay tax as we don't have the same rights or obligations as humans. For example, humans cannot be legally hunted. At least in most states.
> 
> 
> 
> ...


Seems Bear is not only funny, but wise in the ways of human taxation.


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## RideShare_Hustler (Jun 18, 2020)

Trafficat said:


> You are probably driving the wrong car (or at least not the most profitable choice), unless you're driving UberBlackXL or something.


My car is more profitable than any black SUV out there. I have XL too. They pay me more by the mile.



Trafficat said:


> my actual expenses have always been a lot less than the standard mileage deduction.


I'm paying $550 a week for my vehicle. That includes financing, insurance and tlc plates.


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## Older Chauffeur (Oct 16, 2014)

RideShare_Hustler said:


> My car is more profitable than any black SUV out there. I have XL too. They pay me more by the mile.
> 
> I'm paying $550 a week for my vehicle. That includes financing, insurance and tlc plates.


Okay, so some things are coming out that were not mentioned in your earlier posts about claiming mileage vs actual expenses. Are you renting or leasing the vehicle, rather than owning it? No wonder you didn't understand what I meant when I mentioned a loan. Why would you have financing if you don't own the car? Is this similar to what cab drivers do when they lease a cab from a cab fleet operator? Anyway, forget what I said about not claiming payments, only interest. I was assuming facts not in evidence. It sounds like you have some kind of package deal. Only a tax professional and the IRS are going to know what is the correct method to handle it.


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## SHalester (Aug 25, 2019)

$2200 monthly payment?

Hum.


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## RideShare_Hustler (Jun 18, 2020)

SHalester said:


> $2200 monthly payment?
> 
> Hum.


Welcome to nyc. I could be leasing a brand new G63 AMG for that price tag.


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## Jon Stoppable (Dec 11, 2019)

Judge and Jury said:


> Seems Bear is not only funny, but wise in the ways of human taxation.


Bear has told the story before. The human father whom bear killed and ate and stole his minivan had a bunch of books in them. After bear used dead human's fingerprint to unlock his phone (which bear then reset to bear's own paw), bear downloaded a text reader app. Bear discovered human was planning on taking the CPA exam, so bear studied hard and sat in dead human's place. Bear passed!

But bear still wasn't too familiar with human society, so when bear went to the state society with bear's passing grades in mouth, they told bear that bears aren't allowed to be CPAs. Bear had worked so hard for nothing! Bear was too sad to even eat them.

So bear became a RS driver instead, but bear still remembers accountancy. Bear remembers!


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## RideShare_Hustler (Jun 18, 2020)

Jon Stoppable said:


> they told bear that bears aren't allowed to be CPAs.


BLM - Bear Lives Matter.


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## Daisey77 (Jan 13, 2016)

RideShare_Hustler said:


> My car is more profitable than any black SUV out there. I have XL too. They pay me more by the mile.
> 
> I'm paying $550 a week for my vehicle. That includes financing, insurance and tlc plates.


I don't know how to TLC plates work when it comes to taxes. However the insurance is not tax deductible. Added on insurance specifically for this job is. such as Rideshare insurance or even a roadside assistance policy but not the actual insurance coverage for the car.

By Leasing, do you mean you're renting a vehicle through Uber and one of their car rental places or are you leasing through an actual dealership and private lender?


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## RideShare_Hustler (Jun 18, 2020)

Daisey77 said:


> I don't know how to TLC plates work when it comes to taxes. However the insurance is not tax deductible. Added on insurance specifically for this job is. such as Rideshare insurance or even a roadside assistance policy but not the actual insurance coverage for the car.
> 
> By Leasing, do you mean you're renting a vehicle through Uber and one of their car rental places or are you leasing through an actual dealership and private lender?


I'm financing a vehicle from an Uber partnered TLC dealership.


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## Daisey77 (Jan 13, 2016)

RideShare_Hustler said:


> I'm financing a vehicle from an Uber partnered TLC dealership.


Well if it's truly a lease set up, I'm pretty sure you can't do mileage deduction. You only can do actual expenses


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## MikhailCA (Dec 8, 2019)

Daisey77 said:


> Well if it's truly a lease set up, I'm pretty sure you can't do mileage deduction. You only can do actual expenses


For the money he is paying $2200 plus gas per month could be not the worse choice.


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## Older Chauffeur (Oct 16, 2014)

Daisey77 said:


> Well if it's truly a lease set up, I'm pretty sure you can't do mileage deduction. You only can do actual expenses


He could use the SRM only if he started with it the first year, and would then have to stick with it for the entire term of the lease. OTOH, depending how the lease is written up, maybe he can get away with taking the entire payment&#129335;‍♂ It sounds like he's been doing it awhile.


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## SHalester (Aug 25, 2019)

huh, the story has changed.


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