How to properly claim mileage deduction on Schedule C with minimal recordkeeping for business travel?

Your situation is actually pretty common! For mileage deduction on Schedule C, here's what you need to know: Your record-keeping approach is heading in the right direction but needs a bit more detail. The IRS wants to see a contemporaneous log that includes dates, business purpose, starting/ending locations, and mileage. Your Excel file should include all these elements - not just dates and distances. Add a brief description of the business purpose for each trip (like "pickup materials" or "deliver completed work"). Since you work from home, you're correct - these aren't commuting miles! When your home is your principal place of business, trips from home to client locations are considered business miles, not commuting miles. This is a key distinction that works in your favor. For Part IV, "other" miles refers to personal use of the vehicle. You'd include all non-business driving here (grocery trips, vacations, etc.). You need to track your total annual mileage, then separate it into business and personal to calculate the business use percentage.

I struggled with the same issue last year and discovered an awesome solution at https://taxr.ai that completely changed how I handle my business mileage tracking. Their system analyzed my scattered records and helped me create a proper mileage log that would stand up to IRS scrutiny. What I learned is that the IRS is primarily concerned with the pattern and consistency of your business travel, not necessarily having perfect records of every single mile. Their experts helped me understand exactly what documentation I needed for my situation and how to organize it properly. The software even flagged potential issues in my record-keeping that might have raised red flags.

Just wanted to follow up about my experience with taxr.ai - I decided to try it despite my initial skepticism, and I'm genuinely impressed. I had three years of spotty mileage records that I was nervous about claiming on my Schedule C. The system helped me properly document what I could substantiate through my calendar appointments and client invoices. The biggest value was learning exactly what the IRS considers sufficient recordkeeping for my specific situation. They showed me how to create a compliant mileage log using my existing evidence, and identified several legitimate deductions I was missing. I was able to claim an additional $2,800 in mileage deductions I would have otherwise left on the table because I wasn't confident in my documentation.

If you're worried about an audit regarding your mileage deduction, I highly recommend having Claimyr on standby. I used https://claimyr.com last year when the IRS flagged my Schedule C for review specifically because of my mileage deduction. Normal channels had me waiting on hold for 3+ hours with no luck, but Claimyr got me connected to an actual IRS agent in under 20 minutes. The IRS agent was surprisingly helpful once I explained my situation. They actually guided me through exactly what documentation they needed to see for my mileage claims, which saved me a ton of stress. You can see a demo of how it works here: https://youtu.be/_kiP6q8DX5c - it's seriously game-changing for anyone dealing with tax issues.

I've got to eat my words about Claimyr. After posting my skeptical comment, I had an issue with the IRS questioning my Schedule C mileage deduction that needed immediate attention before a deadline. After two failed attempts spending 2+ hours on hold, I reluctantly tried Claimyr. They actually got me through to an IRS representative in about 15 minutes. The agent walked me through exactly what documentation I needed for my mileage records to be accepted. Turns out my Excel spreadsheet was fine, but I needed to add the business purpose for each trip and the starting/ending locations rather than just the total miles. Having that conversation directly with the IRS gave me the confidence to properly claim my mileage deduction this year with documentation that will hold up if questioned.

One important thing to remember about mileage deductions is that consistency is key. The IRS is more likely to question deductions that vary wildly from year to year without a clear reason. If you're doing similar work each year, your mileage should follow relatively consistent patterns. Also, make sure your claimed mileage makes sense for your business. If you're claiming 30,000 business miles but only made $10,000 in revenue, that might raise flags. The miles should be proportional to your business activity and income.

Quick tip: Google Timeline can be a lifesaver if you've forgotten to track mileage but have location services enabled on your phone. It shows your movement history and can help reconstruct business trips. I've been able to verify business travel this way when my regular log was incomplete.

One thing I'd add to all this great advice - don't forget about the actual mechanics deduction vs. standard mileage rate choice! You mentioned using the standard rate, which is usually simpler, but make sure you're not leaving money on the table. For your situation as an independent contractor with regular trips to one client, the standard mileage rate (65.5 cents per mile for 2023) is probably your best bet since it's straightforward and you don't have to track actual vehicle expenses. Just remember that once you choose the standard mileage rate for a vehicle, you generally have to stick with it for the life of that vehicle - you can't switch to actual expense method later. Also, since you mentioned this is the same route every time, consider using a mapping service like Google Maps to get the exact mileage once, then multiply by your number of round trips. This gives you a defensible, consistent distance calculation that the IRS would likely find reasonable. Just make sure to note in your log which mapping service you used and the date you calculated the distance. The fact that you're being cautious and only wanting to claim what you can properly document puts you in a good position. Most audit issues come from people who get aggressive with deductions they can't substantiate.

I appreciate seeing all this detailed advice! As someone who's been through a similar situation, I want to emphasize one crucial point that hasn't been mentioned yet - make sure you're tracking your odometer readings at the beginning and end of each tax year. The IRS wants to see your total annual mileage broken down into business and personal use. So even if you have perfect records of your business trips, you'll still need to know your total mileage for the year to calculate the business use percentage. I learned this the hard way when I realized I had great business trip records but no way to prove what percentage of my total driving was business-related. A simple solution is to take a photo of your odometer on January 1st and December 31st each year, and maybe once mid-year as a backup. This gives you the total annual mileage baseline that the IRS expects to see on your Schedule C. Also, since you mentioned using Excel to organize everything - consider adding a column for cumulative business miles. This makes it easy to see patterns and ensures your claimed deduction matches your calculated total. Having that internal consistency in your records goes a long way toward demonstrating credibility if you're ever questioned.