Can I write off mileage as a 100% commission sales person? Any advice for high mileage deductions?

Thanks for this clear explanation! I have a follow-up question. I'm in a similar situation but my company classifies me as a "statutory employee" on my W-2 (box 13 is checked). Does this change anything regarding the mileage deduction?

Yes, that absolutely changes things! If you're classified as a statutory employee with Box 13 checked on your W-2, you're actually eligible to file Schedule C and deduct business expenses including mileage, even though you receive a W-2. Statutory employees are in a special category that allows them to deduct unreimbursed business expenses, which is an exception to the general rule for W-2 employees. Make sure you maintain thorough documentation of your mileage - contemporaneous logs are best, with dates, destinations, purpose, and odometer readings.

Did it help with documenting mileage too? I'm terrible at keeping logs and I'm worried about getting audited. I drove like 28k miles last year and didn't track it properly.

How does this actually work though? Do they do your taxes for you or just give advice? I'm confused because I already use TurboTax but they weren't helpful with my commission situation at all.

They have a mileage tracking component that helped me organize my past driving records and create a compliant log that would stand up to IRS scrutiny. They showed me how to reconstruct mileage from calendar appointments, Google timeline data, and other records which was incredibly helpful since I wasn't great at keeping detailed logs either. They don't actually file your taxes for you - they analyze your tax situation and documents, then give you specific guidance on how to handle complex situations like commissioned sales positions. I ended up still using TurboTax but with their specific recommendations on how to properly classify and document everything. The difference was that I had clear, personalized guidance instead of trying to guess what applied to my situation.

Wait, so this service just gets you to the front of the IRS phone line? How does that even work? Sounds kinda sketchy tbh.

I'm super skeptical about this. I've tried "skip the line" services before that were total scams. Did you actually get through to the IRS or just some call center pretending to be them?

It's not sketchy at all - they use a combination of technology and call protocols to navigate the IRS phone system efficiently. They don't actually speak to the IRS for you. They just connect you directly once they've gotten through the system. When I got connected, I was speaking to an authentic IRS representative who verified my identity and answered all my questions about commission sales mileage deductions. No, it's definitely the real IRS. They don't intermediary the call - they just get you through the phone system and then you're directly connected to the IRS like normal. The difference is you don't waste hours on hold or getting disconnected. The IRS agent I spoke with went through all the standard identity verification and was able to access my actual tax records, so it was definitely legitimate.

It sounds like you might be misclassified based on what you described. Medical device sales reps who work on full commission, use their own vehicles, and pay their own expenses often qualify as statutory employees. The key factors are: 1. You work on commission in assigned territories 2. You incur unreimbursed expenses 3. Your services are performed personally You should definitely look into requesting a corrected W-2 with Box 13 checked. The tax savings could be massive with that many miles.

Thanks for this information! I had no idea this was even a possibility. I'm definitely going to talk to our HR department about my classification. With 35k miles at the standard rate, that's over $23k in deductions I might be missing out on. Do you know if there's any downside to being classified as a statutory employee instead of a regular W-2 employee? I want to make sure I understand the full picture before I approach my company.

Unfortunately, if you're a regular W-2 employee (not statutory), you cannot deduct the difference. The 2017 Tax Cuts and Jobs Act eliminated all unreimbursed employee business expense deductions through 2025. That $200 allowance is likely taxable income too, unless it's part of an accountable plan. Your best options are to either: 1. Ask your employer to switch to an accountable plan where you submit actual expenses 2. See if you qualify as a statutory employee based on your specific job duties 3. Negotiate a higher allowance based on actual mileage

Thanks for this info - really disappointing news though. That $200 barely covers gas for a week of my territory! And yes, it's taxed as regular income which makes it even worse. I'm going to look into whether I might qualify as a statutory employee based on the criteria others mentioned. Otherwise I'll need to try negotiating a better arrangement with my manager. Seems unfair that so much of my commission goes to business expenses I can't deduct.

Do these apps work if you frequently forget to open them? I always start with good intentions but then forget to track things consistently. Also, does the IRS accept digital logs or do they need to be printed?

The best mileage apps work in the background automatically - you don't need to remember to open them each time you drive. They use your phone's GPS to track trips, then you categorize them later. The IRS absolutely accepts digital logs as long as they include date, starting point, destination, business purpose, and mileage. If you've already driven a lot this year without tracking, you might be able to reconstruct a reasonable log using your calendar appointments, email confirmations, and Google Maps timeline if you have that enabled. Just be honest and as accurate as possible.

Just wanted to add that if you're using Google Maps for business trips, you can actually export your location history to help reconstruct mileage logs. Go to Google Takeout and download your Maps data - it shows everywhere you've been with timestamps. I used this method to rebuild my entire 2023 mileage log when I realized I needed it for my commission sales deductions. Obviously it's better to track prospectively, but this saved me when I was in a pinch!

Yes, as a 1099 independent contractor you can absolutely deduct your business mileage on Schedule C! You're in a much better position than W-2 employees. Regarding your question about the standard mileage rate vs. actual expenses - you have to choose one method or the other, you can't mix them. If you use the standard mileage rate ($0.67/mile for 2023), that's meant to cover ALL vehicle expenses including gas, maintenance, depreciation, insurance, etc. You cannot deduct additional car washes or maintenance on top of the standard rate. However, you CAN still deduct business-related expenses that aren't directly vehicle costs, like parking fees, tolls, or professional car detailing specifically for client meetings. The standard mileage method is usually simpler and often more beneficial for high-mileage situations like yours. With 40k miles, that's potentially $26,800 in deductions! Just make sure to keep detailed logs going forward - your MLS appointments should help a lot with reconstructing business purposes for each trip.

This is excellent advice about Form SS-8! I had never heard of this before and it sounds like it could really help clarify some of these confusing classification situations. Question for you - how long does the IRS typically take to respond to a Form SS-8 request? I'm wondering if it's worth filing for my current tax year or if the process takes so long that it would only help for future years. With my driving season ramping up now, I'd love to know my status before I rack up another 20k+ miles this year. Also, your point about detailed business purpose documentation is spot on. I've been lazy about this and just writing generic things like "sales calls" but I can see how that wouldn't hold up under scrutiny. Going to start being much more specific about client names and meeting purposes. Thanks for the wake-up call!