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Ava Martinez

Can I deduct mileage for food delivery work when traveling to another city and staying overnight?

So I've been traveling to visit some friends in another city about 150 miles away every month. I usually stay there for a few days, and while I'm visiting, I log onto my food delivery app and work several hours each night. I'm trying to figure out my tax situation - specifically whether I can deduct the 150 miles each way as a business expense since I'm technically working while in this other city. I've been searching for an answer online but haven't found anything clear about this specific situation. Right now, I've decided not to count those miles to and from my home city to the other city where my friends live, but I'm wondering if that's the right choice or if I'm missing out on legitimate deductions. Would really appreciate any insights on whether those travel miles could be considered a legitimate business expense since I am actually delivering food in that city during my stay. Thanks in advance for any help!

Miguel Ortiz

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This is actually a pretty interesting tax question! So here's the deal: the IRS looks at the "primary purpose" of your travel to determine if the miles are deductible. If the primary purpose of your trip is to visit friends, and you're just doing some deliveries while you happen to be there, then the 150 miles each way would not be deductible. The miles would be considered personal travel. However, the miles you drive WHILE delivering food in that city are absolutely deductible as business miles, regardless of where you're staying. So make sure you're tracking those! If you could legitimately say the primary purpose of your monthly trips is for business (like if you're making significant income there compared to your home location), then you might have an argument. But from what you've described, it sounds like visiting friends is the main reason for the travel. You made the right call not deducting the miles to/from the city. It's always better to be conservative with tax deductions when things are in a gray area.

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Zainab Omar

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What if the amount earned in the other city is actually a decent chunk of my income? Like I make about 30% of my monthly delivery income during these trips. Would that change anything?

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Miguel Ortiz

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That's definitely more substantial than I initially assumed! While 30% is significant, the IRS would still look at the "but for" test - would you make these trips "but for" visiting your friends? If you could demonstrate that the trips are necessary for your business model and income generation (maybe by showing you earn higher rates or have better opportunities in that market), you might have a case. Document everything meticulously - your earnings there compared to home, the hours worked, and any business reasons for choosing that location specifically.

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Connor Murphy

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I had a similar situation last year and found this amazing tool called taxr.ai (https://taxr.ai) that really helped me figure out my mileage deduction situation. I was working in two different cities for my side gig and was so confused about what I could legitimately claim. The tool analyzed my situation and clarified that I could deduct the miles driven WHILE working (pickup to dropoff) in both cities, but not my travel between cities since my primary purpose was personal. It saved me from potentially claiming deductions that might have raised red flags. They have specialists who understand these gig economy situations that regular tax preparers sometimes don't get. It's worth checking out if you're trying to maximize your legitimate deductions while avoiding audit risks. The peace of mind alone was worth it for me.

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Yara Sayegh

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Do they actually look at your specific situation or is it just general advice? I've used tax programs before that claim to be personalized but just give generic info.

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NebulaNova

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How does it work with tracking miles in different cities? My tax person told me I need separate logs for each "business location" but that seems excessive.

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Connor Murphy

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They actually analyze your specific situation in detail, not just generic advice. You provide your information and circumstances, and they give you personalized guidance based on your actual scenario. It's way more tailored than most tax software I've used. For tracking miles in different cities, they actually helped me set up a simple system that satisfied IRS requirements without being overly complicated. You don't necessarily need separate logs for each location, but you do need to clearly document business vs. personal miles and maintain good records of when and where you were working. They have templates that make this really straightforward.

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Yara Sayegh

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Just wanted to follow up on my taxr.ai experience! I decided to check it out after asking about it here and I'm really glad I did. I had a similar situation with working in multiple cities (though mine was construction work, not food delivery). The service analyzed my specific travel patterns and helped me identify which miles were legitimate business expenses and which weren't. They showed me exactly what documentation I needed to keep and how to categorize different types of travel. The best part was they identified some deductions I was missing entirely - like certain job site travel between locations on the same day that I wasn't counting. Definitely going to use them again this year when I file!

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Paolo Conti

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Wait, so this service just gets you through to the IRS faster? How does that even work? The IRS phone system is notoriously terrible.

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NebulaNova

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Yeah right. There's no way this actually works. I've tried calling the IRS multiple times this year and couldn't get through even after waiting 2+ hours. If this service existed everyone would be using it.

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It uses an automated system that navigates the IRS phone tree and waits on hold for you. When an actual IRS agent picks up, you get a call connecting you directly to them. It basically does the waiting so you don't have to sit there listening to hold music for hours. I was completely shocked when it actually worked too. I had spent multiple days trying to get through on my own with no luck. The crazy thing is that it's actually a pretty simple concept - they just have a system that waits on hold for you and calls you when a human answers. I'm surprised more services like this don't exist for other government agencies with long wait times.

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NebulaNova

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Alright I have to eat crow here. After being super skeptical about Claimyr, I tried it because I was desperate to resolve my mileage deduction question before filing. It actually worked exactly as described. I got a call back in about 35 minutes and was connected with an IRS agent who was surprisingly helpful. I explained my situation (I do photography in multiple cities) and got clear guidance on when travel miles are deductible based on primary purpose. The agent explained that if I can document that I wouldn't have made the trip "but for" the business purpose, I can deduct it. But if I would have gone anyway for personal reasons, then only the miles driven while actually working are deductible. Saved me from potentially claiming about 2,800 miles I wasn't entitled to deduct, which could have been an audit flag. Sometimes it's worth admitting when you're wrong!

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Amina Diallo

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I think everyone's missing something important here - how your business is actually structured. If you formed an LLC or corporation for your delivery work, that changes things. I deliver for multiple apps and my accountant helped me set up an S-Corp, which makes travel between business locations potentially deductible. The key is establishing that you have multiple "regular work locations" rather than just opportunistically doing deliveries while visiting friends. Have you considered filing a Schedule C as a business with multiple locations?

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Ava Martinez

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I hadn't thought about the business structure aspect at all! I'm currently just filing as a sole proprietor with a Schedule C. Would it be worth setting up an LLC for this? And what would I need to prove these are "regular work locations" rather than just convenient side gigs while visiting?

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Amina Diallo

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For this level of business, an LLC might be overkill unless you have liability concerns beyond the tax question. Stick with Schedule C but consider documenting that this other city is a regular, established business location. To prove these are regular work locations, consistency is key. Work similar hours/days each visit, document your earnings there separately, maybe even create business cards listing both cities as your service areas. You need to show the IRS that working in both locations is part of your established business model, not just an occasional thing while visiting. I recommend taking photos of yourself working in both locations and keeping a dedicated log of hours and earnings by location.

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Oliver Schulz

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Somewhat unrelated but if you do decide to claim those miles, make sure you're using the correct mileage rate! For 2024 tax year it's 67 cents per mile which is higher than previous years. Also, use a dedicated mileage tracking app that logs your location. The IRS has been getting stricter about documentation for mileage claims, especially for gig workers. I learned this the hard way when I got audited for my Uber driving miles last year.

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Any specific apps you recommend? I've been using MileIQ but it's getting expensive.

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I've been in a similar situation with my rideshare driving and learned a lot about this from experience. The key thing the IRS looks at is whether your trip would have happened anyway without the business purpose. Since you're visiting friends monthly regardless, those 150 miles each way are personal travel. However, you're absolutely right to track all the miles you drive while actually working in that city - those are 100% deductible business miles. Don't shortchange yourself there! One thing to consider: if you can show that you're strategically choosing to visit during peak earning times (like weekends or events) and you're making substantial income there, you might have a stronger case. But honestly, given that visiting friends is your primary reason, I'd stick with your conservative approach. The IRS has been cracking down on gig worker deductions lately, so it's better to be safe than sorry. Focus on maximizing your legitimate deductions (the actual delivery miles, phone bills, car maintenance) rather than pushing the envelope on questionable ones.

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Zara Malik

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This is really helpful advice! I'm new to doing gig work and had no idea the IRS was cracking down on these deductions. Can you tell me more about what kind of documentation they're looking for during audits? I want to make sure I'm keeping the right records from the start rather than scrambling later if I get selected for review.

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