Delivery Taxes

Italnstallion99

Active Member
Hi Folks,

I am going to be starting next week as a driver for Uber Eats, Grub Hub & Door-dash. I have a question regarding keeping track of mileage. Can I just do a starting an ending reading from my when I leave my house and return at the end of the day? Or do I need to be specific and keep a log? For example from my house to Denny's. Then From Denny's to the delivery location. I am sure companies I work for will be sending mileage to the IRS

Thanks
 

Bob Reynolds

Well-Known Member
The more details you can put on the log the better you are.

The IRS does not get your mileage information. You are expected to keep track of your mileage on your own though some method of your choosing. This could be written, electronic or a statement from your employer. It really is up to you.

The IRS will never see the mileage information unless you are under audit and took the mileage deduction. They then will ask you for your mileage records which you will need to provide.

If you don't have adequate mileage records or a way to prove you drove those miles, then your deduction may not be allowed and you could owe additional tax, interest and penalties.
 

Launchpad McQuack

Well-Known Member
Can I just do a starting an ending reading from my when I leave my house and return at the end of the day? Or do I need to be specific and keep a log? For example from my house to Denny's. Then From Denny's to the delivery location.

My experience from reading this forum is that you will get conflicting answers to this question. Some people will tell you that mileage when you turn the app on and mileage when you turn the app off is all you need for the day. Other people will tell you that you need a log of every stop that you made for the day with addresses and mileage for each stop. All of these people will speak as if they know what they are talking about and their answer is authoritative. I don't know what the actual answer is, so I keep a detailed log of every stop.

This is what I do. I have an old cell phone that I don't use any more. It has a voice recorder app on it. I basically use it like one of those old handheld mini-cassette recorders. When I start driving for the day, I make a voice recording and say, "Home. <<odometer reading>>." When I get to my first pickup location, I make a voice recording and say, "<<restaurant name>>, <<restaurant address>>, <<odometer reading>>." When I get to the dropoff location, I make a voice recording and say, "<<customer name>>, <<customer address>>, <<odometer reading>>." I also make a voice log for any tolls that I paid when I make my first stop after the toll. Each voice log takes 10-15 seconds to record and gets recorded in a separate file. Each file automatically gets a date and time stamp when it is recorded. When I am done for the day, I transfer all of the voice files to my business computer. Then I play back the voice files and input the data into a spreadsheet. The data entry takes a half hour at the most if I had a long day of driving. Usually it is quicker than that. Maybe this isn't needed, but until the IRS issues some actual guidance on what is needed then it's what I'm doing.
 
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