IRS mileage log requirements: what to record, and when.

What every trip entry needs

• The date of the trip.
• The destination. The IRS sample log asks for the city, town or area.
• The business purpose, for example “client meeting, Lee & Co.”
• The miles driven for the trip. Odometer readings at the start and end are a common way to show them.

What to record for the year

• The total miles you drove the car during the year, business and personal.
• Your business miles for the year.
• The date you started using the car for business.
• If you deduct actual costs: the car’s cost and any improvements, plus your expense receipts.

Record it close to the trip

The IRS expects entries made at or near the time of each trip. A log kept weekly that covers the week’s driving counts as timely. Amounts you approximate or estimate can’t be deducted.

If your driving follows a steady pattern, Publication 463 lets you keep an adequate record for part of the year, such as the first week of each month, as long as you can show that period is representative of the whole year.

Example mileage log

Standard mileage rate or actual expenses

You can deduct business driving with the standard mileage rate (see today’s IRS rate) or with your actual car expenses, such as fuel, repairs, insurance and depreciation, multiplied by your business-use percentage. Either way you need the mileage log; with actual expenses you also need the receipts.

Who can deduct business driving, and how, depends on your situation; the rules differ for employees and the self-employed. Check the IRS guidance or a tax professional.

How SnapBooks keeps the log for you

• Logs each drive with GPS in the Android app, with the date, route and distance, and can detect trips automatically.
• Lets you mark each trip as business, personal or commute, and add the purpose.
• Applies the IRS rate in force on the date of each trip and keeps it with the trip.
• Exports a mileage report for your tax return or your accountant, alongside your car receipts.