This means that auditors aren’t always familiar with every nuance of the tax code and so occasionally get things wrong.
For example, you may be keeping a 90-day mileage log, but your IRS auditor may disallow all of your auto expenses because you can’t provide a 12-month mileage log. And the IRS auditor would be wrong.
So how do you fight back and prove you’re right and are entitled to your deductions?
We’ll steer you in the right directions when you read my new article titled Q&A: IRS Auditor Doesn’t Know the 90-Day Mileage Log Rule.
Three ways our fact-filled article can help you:
- You’ll learn what to do first. For starters, you can explain to your friendly auditor that you are using the “90-day sample method” as authorized in the tax code. We’ll provide a link to the relevant citation, as well as additional helpful information, when you Read the article.
- We’ll explain the perfectly legal sample-method allowance. The IRS says you may keep an adequate record for part of the tax year and use that part-year record to substantiate your vehicle’s business use for the entire year. In fact, the IRS allows the use of two different sample methods. We’ll tell you which one you should use when Read this article.
- We’ll tell you how to use the 90-day sample method. There are actually four easy-to-understand basics that you should be aware of before you use this strategy. Don’t wait for an audit notice to bone up on the subject. Now is the time to Read this article.