Posted by RIcloser on 6/12/13 8:10pm
Msg #473110

IRS question

I started performing independent Notary signings last year. I'm on extension for filing my 2012 return. I kept a mileage record, but I've read a few articles that a big red flag to trigger an IRS audit is mileage. Just wondering if that's true. Has anyone experienced an audit?

Reply by ikando on 6/12/13 8:38pm
Msg #473117

My husband is an Enrolled Agent Tax accountant. His comment: If you've kept a mileage log (tracking), and you don't get carried away with what you claim your mileage to be in relation to the number of trips you've made for notary work, you should have no worries about an audit.

Reply by PE on 6/12/13 10:21pm
Msg #473133

I have beeen audited twice I make a print out of every mapquest assignment and staple it to my workorder. the agent wasvery impressed I was so digent on my assignements

Reply by JanetK_CA on 6/12/13 10:44pm
Msg #473135

Also, if you keep track of actual odometer readings in relation to each trip, along with who you saw and the business purpose (e.g. a signing appt.), that's pretty solid documentation, especially if you have it with a calendar that shows your appointments. The mileage deduction is a pretty significant amount for many, if not most, of us. It's not one I would want to consider eliminating!

Reply by John Tennant on 6/12/13 11:15pm
Msg #473137

When you use an actual odometer log you also have the opportunity to take off the mileage when going to the office supply store, post office, to drop the package, etc. You just need to be specific in what the trip is for. The map is great for backing up an actual odometer log.

Reply by VT_Syrup on 6/13/13 4:43am
Msg #473150

In a rural area, going to the dropoff location can make the trip as much as 30 miles longer even when the package is dropped immediately after the signing, so the Mapquest estimate isn't so great.

Reply by jba/fl on 6/13/13 8:27am
Msg #473154

You do another route to the drop off box/store, etc. MapQuest allows for A to B to C to A again.

Reply by RIcloser on 6/13/13 12:02am
Msg #473143

Great idea! Thanks!

Reply by MW/VA on 6/13/13 8:35am
Msg #473156

I agree with that. IMO an IRS red flag would be claiming

excessive mileage, but I wouldn't feel intimidated not to claim mileage for that reason. I've heard that they've cracked down on employees who claim excessive mileage & entertainment expenses. We are mobile, and mileage is definitely a major area of expense for us. The key is to keep good records.

Reply by GOLDGIRL/CA on 6/13/13 1:59pm
Msg #473194

Re: I agree with that. IMO an IRS red flag would be claiming

<<I've heard that they've cracked down on employees who claim excessive mileage & entertainment expenses. >>

Wish that the IRS would crack down on their own excessive spending and entertainment expenses!

I know, JP! But couldn't resist.

Reply by kathy/ca on 6/13/13 4:51pm
Msg #473219

Amen to that GOLDGIRL! n/m

Reply by MW/VA on 6/13/13 5:38pm
Msg #473234

I agree. I wasn't unhappy that they're the one's under

investigation for a change! :-)

Reply by JanetK_CA on 6/13/13 11:50pm
Msg #473297

Re: I agree with that. IMO an IRS red flag would be claiming

We're also not employees, so it's a completely different set of circumstances.