charge for time?

[Conrad Hoffsommer]

> 
>     At the end of the year I deduct all my business miles, as a business
>     expense, at whatever the governments going rate is for that year. I
>     can't believe that it's possible to both charge the customer for
>     those miles and then deduct them as well. Is it? I would think that
>     it's either one or the other. Which one benefits us the most?
>      
>     -- Geoff Sykes
>     -- Assoc. Los Angeles

Geoff,

If costs you $4 in gas to get to and from a customer, and you charge 
them $4 for mileage, have you made any profit/covered your costs of 
doing business?

NO! You actually have a loss. You have neglected to add in vehicle 
purchase price/lease, wear and tear, repairs, insurance, registration 
fees, etc.

The standard mileage rate is designed to account for all these expenses 
  without having to note ALL auto related expenses.  If you have 
multiple vehicles, your paperwork increases exponentially.  It is 
particularly useful for people who, like me, also use the vehicle(s) for 
non-business purposes. If you don't use the standard mileage deduction, 
you would then have to apportion everything by that 
business/non-business ratio.

If you have an el cheapo gas sipper in a cheap insurance area, as I do, 
the standard mileage deduction usually more than covers expenses.  You 
folks driving around in Hummers have a problem... ;-}


-- 
Conrad Hoffsommer - Keyboard Technician
Luther College, 700 College Dr., Decorah, Iowa 52101-1045
1-(563)-387-1204 // Fax 1-(563)-387-1076

- Right now, I'm hoping to live until my age matches my golf score,
- Until then, I'll have to be content to have my IQ match my handicap.