Can I deduct mileage for previous years on Instacart driving gigs?

That makes sense but I'm still confused about the actual process. Do I need to file separate amended returns for each previous year? And will this trigger some kind of audit flag since I'm going back to claim something I missed?

Yes, you would need to file a separate Form 1040-X for each tax year you're amending. Each amended return only addresses one tax year. The form allows you to explain the specific changes you're making, which in your case would be adding the mileage deduction you originally missed. Filing an amended return doesn't automatically trigger an audit. The IRS understands that people discover legitimate deductions they missed initially. The key is having proper documentation, which you mentioned you do have with your Instacart records. Just be sure to follow the instructions carefully, and consider using tax software or consulting with a tax professional if you're uncertain about the process.

That sounds interesting, but does it work for all gig platforms? I've done Uber Eats, Instacart AND Amazon Flex. Would I need to manually enter all that data or can it pull the info automatically?

I'm skeptical about these kinds of services tbh. Couldn't you just use TurboTax or something to file an amended return? Why pay for another service when the big tax companies already handle this?

For different gig platforms, it works with pretty much all of them. You can either upload your data or in some cases it can directly sync with certain platforms. For Uber Eats, Instacart, and Amazon Flex, I believe they have integration options, but even if they don't for some reason, you can still upload your driving history and they'll format it properly. Regarding using TurboTax or similar services - those are great for filing the amended return itself, but they don't help with the documentation aspect. The tricky part isn't just filing the amendment but having proper documentation that satisfies IRS requirements for mileage. TurboTax will let you enter a number, but if you get audited, you need to prove those miles with proper logs. That's where the specialized service helped me - creating audit-proof documentation from my gig driving history.

How does this actually work? So you pay them and they somehow get you to the front of the IRS phone queue? That sounds too good to be true considering how impossible it is to reach anyone there.

Yeah right, like anyone can magically get through to the IRS. They're literally the most unreachable government agency ever. I've spent 5+ hours on hold multiple times. If this actually worked, everyone would be using it. Sounds like a scam to me.

It's not about getting to the "front of the queue" - they use a callback system that continuously redials and navigates the IRS phone tree for you. When they finally get through, they call you and connect you directly to the agent. It's basically doing the hold time for you so you don't have to sit there with your phone for hours. I was super skeptical too, but it actually works. I didn't believe it until I tried it myself. The IRS is unreachable because their phone systems are overwhelmed and outdated, not because they're intentionally avoiding people. This service just handles the tedious part of getting through the initial systems. Once you're connected, you're talking to the same IRS agents everyone else would talk to - you just didn't have to waste half your day on hold.

Do you know if we can switch methods? I tracked actual expenses in 2021 but want to use standard mileage rate for 2022 onward since it's easier. Is that allowed or do you have to be consistent?

If you used actual expenses in the first year you used your car for business, you're generally locked into that method for the life of that vehicle. However, if you used the standard mileage rate in the first year, you can switch between methods in subsequent years. So in your case, if you tracked actual expenses in 2021 (the first year you used the car for business), you would need to continue using that method for that particular vehicle. If you get a new vehicle, you could start fresh with either method. It's one of those IRS rules that catches people by surprise, so definitely something to keep in mind when planning your deductions.

Totally agree! I drive for multiple apps and keep a separate mileage tracking app running the whole time I'm working. The in-app trackers miss TONS of deductible miles. Also don't forget you can deduct miles when you're driving between deliveries looking for your next gig - those count as business miles too!