<html xmlns:v="urn:schemas-microsoft-com:vml" xmlns:o="urn:schemas-microsoft-com:office:office" xmlns:w="urn:schemas-microsoft-com:office:word" xmlns:m="http://schemas.microsoft.com/office/2004/12/omml" xmlns="http://www.w3.org/TR/REC-html40"> <head> <meta http-equiv=Content-Type content="text/html; charset=us-ascii"> <meta name=Generator content="Microsoft Word 12 (filtered medium)">  <style>  </style>  </head> <body lang=EN-US link=blue vlink=purple> <div class=Section1> With all due respect to you Wim, I think you are sharing information about mileage substantiation that is erroneous.  I can speak from the personal experience of an IRS audit myself.  In 1994 my wife and I were given the dubious honor of a compliance audit .  This is an audit where taxpayers are chosen at random and audited, so that the IRS can get some idea of the level of compliance amongst us.  It is one of the more complete audits they do.  <o:p></o:p> <o:p> </o:p> Long story short, after an exhaustive audit that lasted a couple of months, the only thing they nailed me on was business use mileage.  I had kept good records for the first 3 months or so of the year audited, but had gone to sleep on my record keeping for the rest of the year.  I figured the percentage of business mileage for the year on what it had been for those months I kept records.  It probably was not too far off the mark.  But they didn’t care to look at my appointment book.  I could not substantiate the mileage for the other 9 months.  Disallowed, plus interest and penalties.  <o:p></o:p> <o:p> </o:p> Your suggestion works fine for the person who will never be audited, which is most people.  The self incrimination thing is beside the point – sloppy record keeping is not the same as willful deception.  They’re not going to put you in jail for keeping poor records, but they will collect the fines and interest.  <o:p></o:p> <o:p> </o:p> If it is too much trouble for someone to keep records, then simply do not claim your mileage as a deduction.  Or if you do, be able to substantiate it to the satisfaction of the IRS.  <o:p></o:p> <o:p> </o:p> Will Truitt<o:p></o:p> <o:p> </o:p> <div style='border:none;border-top:solid #B5C4DF 1.0pt;padding:3.0pt 0in 0in 0in'> From: pianotech-bounces@ptg.org [mailto:pianotech-bounces@ptg.org] On Behalf Of Willem Blees Sent: Wednesday, April 02, 2008 12:10 PM To: pianotech@ptg.org Subject: Re: Taxes: Business use of vehicle<o:p></o:p> </div> <o:p> </o:p> <div> Terry<o:p></o:p> </div> <div>  <o:p></o:p> </div> <div> You're making it too complicated. Figure your mileage the same way you figure inventory. Write down the odometer reading on Jan 1 and subtract it from the reading on Dec. 31. You use your car for about 80% business and 20% personal use. That's the mileage you use. There is a question if you you can substantiate your mileage. The answer to to that is yes, because if and when the IRS ever audits you, show them your appointment book showing all your customers. Let them figure out how many miles you drove. (You can include you drove to Anaheim, or any other seminar). They have to prove you cheated they cannot make you prove you lied. That's called self incrimination. <o:p></o:p> </div> <div> Willem (Wim) Blees, RPT Piano Tuner/Technician Honolulu, HI Author of The Business of Piano Tuning available from Potter Press www.pianotuning.com<o:p></o:p> </div> -----Original Message----- From: Terence Miller <innuuuu@yahoo.com> To: pianotech list <pianotech@ptg.org> Sent: Wed, 2 Apr 2008 3:50 am Subject: Taxes: Business use of vehicle<o:p></o:p> <div id="AOLMsgPart_2_f54f2b8b-c2c8-42da-bbd9-666a1dd1bfb8"> Dear List: Let's say you're preparing your records for taxes. You turn to your business mileage log and notice some holes in your notations...like beginning mileage and no finish mileage, or mileages and no date. So your record is slightly erratic. There's a good chance that you will be able to recreate your activities if you cross check with your calendar, invoice book and business receipts. If you do figure out what you did when, how do you get a good mileage estimate? Ah. Google Maps to the rescue!              (maybe other map sites too.) <a href="http://www.google.maps/" target="_blank">www.google.maps</a> click on       Get directions enter a        Start address and a          End address and then     Get Directions it will give you turn by turn directions, distance and estimated time (hmmm, nothing new here) BUT say you go more than one place. What if you have to go back to the shop, buy gas, go to the hardware store, oops back to the shop again, and out to your final appointment? Click on        Add destination... type in the address                       (or          Ace Hardware  YourCity Your State) and then       Get Directions do that for all the places you went click the     -      sign to collapse the directions and           drag and drop            the destinations to match the route (however crazy) you took. as you get comfortable with this you'll find that you can zoom in on the map to the right of the display, right click and        Add a destination          instead of typing everything. and there's your mileage. QED Terry Miller, RPT <o:p></o:p> <div> <div class=MsoNormal align=center style='text-align:center'> <hr size=1 width="100%" align=center> </div> You rock. That's why Blockbuster's offering you <a href="http://us.rd.yahoo.com/evt=47523/*http:/tc.deals.yahoo.com/tc/blockbuster/text5.com" target="_blank">one month of Blockbuster Total Access</a>, No Cost. <o:p></o:p> </div> <div id=u8CA62FB8F67D6FC-EAC-7063> <div class=MsoNormal align=center style='margin-top:7.5pt;text-align:center'> <hr size=2 width="100%" align=center> </div> Get the <a href="http://www.mapquest.com/toolbar?NCID=mpqmap00030000000003" target="_blank" title="http://www.mapquest.com/toolbar?NCID=mpqmap00030000000003">MapQuest Toolbar</a>, Maps, Traffic, Directions & More! <o:p></o:p> </div> </div> </div> </body> </html>