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Gas receipts for tax purposes?

Discussion in 'Business Operations' started by johntx14, Mar 19, 2012.

  1. yardguy28

    yardguy28 LawnSite Platinum Member
    Posts: 4,464

    I am solo but like I said I just follow what my accountant says and suggested.

    and that is to keep track of the work mileage on my truck. I turn that in at tax time. mower fuel is just mixed in with all my expenses for the season.

    I used to save the receipts from the mowers but I don't any more. mowers are filled up with a diff card than my truck so I can track it that way if I need to.

    TJLANDS LawnSite Bronze Member
    Posts: 1,669

    just one comment,
    if your accountant does not file for off rd. credit,
    get a new accountant
  3. TLS

    TLS LawnSite Fanatic
    Posts: 7,940


    And keep receipts! It's not hard to do! The 5 minutes it takes to add them up at the end of the year is well worth the trouble!
  4. yardguy28

    yardguy28 LawnSite Platinum Member
    Posts: 4,464

    to be honest I trust and have been happy wirth this accountant 110%.

    he has been my dads accountant for over 30 years with the business he has and has been my accountant since I've been in business.

    TJLANDS LawnSite Bronze Member
    Posts: 1,669

    If he doesn't file for off road credit, he is probably behind the times and needs to retire,
    think of What else is he could be
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  6. britsteroni

    britsteroni LawnSite Senior Member
    Posts: 334

    TJLANDS & TLS are correct. Don't take our word for it, see the IRS instructions for the form.


    You might not need to switch accountants, just inform your current one of this credit and he will probably thank you. The laws change so often that it is difficult to stay on top of everything.
  7. TLS

    TLS LawnSite Fanatic
    Posts: 7,940

    It's also pretty much an industry specific deduction.

    Joe's Flower Shop would not be filling out this form.

    So if your accountant isn't exposed to business' that would use it, maybe he doesn't know about it?

    Prior to doing my own taxes, I had an old, and I mean he was 70 back in the 80's, old! He knew about this form then! And he was just a retired corporate accountant!
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  8. Richard Martin

    Richard Martin LawnSite Fanatic
    Posts: 14,700

    The offroad fuel tax credit makes the IRS' Dirty Dozen. The IRS complies its list of the most egregious schemes that it has on its radar for the year. The offroad fuel tax credit is on that list this year. I'm not saying to not use it. Just be aware that use of it will increase your chances of being audited.

  9. TLS

    TLS LawnSite Fanatic
    Posts: 7,940

    I read that link Richard.

    Fuel Tax. While farmers and others who need to use fuel for off-highway business expenses are rightfully entitled to fuel tax credits, other taxpayers are claiming the credit erroneously. (Sorry, no matter how many potholes are in the expressway by the end of a Midwestern winter, that driving does not qualify as off-road.) Before you try and make that argument, remember the IRS lacks of a sense of humor and that fraud involving the fuel tax credit is considered a frivolous tax claim and can result in a penalty of $5,000

    But I don't think our returns with Line A of our Schedule C reading Landscape/Lawn Maintenance would pop a flag.

    They are saying in that article that "normal" people are claiming off highway use when they are infact using the highway.

    TJLANDS LawnSite Bronze Member
    Posts: 1,669

    We were audited in 2008 for 2005-2006 and the off road credit was not even an issue

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