Vehicle Expenses
You can either deduct your actual vehicle expenses or you can use a standard mileage rate to calculate your vehicle expenses based on miles driven.
The standard mileage rates for 2025 are:
Vehicle expenses related to your business are entered in the Business Income (Schedule C) section.
Job-related Expenses: Menu Path: Deductions/Credits > Other Deductions/Credits > Employee Business Expenses
Job-related vehicle expenses are entered on the Employee Business Expenses screens. They are only deductible for certain types of employees including: Armed Forces reservists, qualified performing artists, fee-based state or local government officials, or employees with impairment-related work expenses.
Rental Expenses: Menu Path: Income > Business / Rental Income > Rental Income (Schedule E)
Vehicle expenses related to your rental properties are entered in the Rental Income (Schedule E) section.
Commuting expenses for your job, business, or rental are usually not deductible. Here are some examples of deductible vehicle expenses for your job or business:
Vehicle expenses for volunteer work for a qualified charitable organization are deductible as a charitable contribution. Enter these vehicle expenses on the Donations to Charities screen.
If you wish to deduct your actual vehicle expenses, enter the vehicle expenses on the question that asks for out-of-pocket expenses. If you wish to use the standard mileage rate instead, enter your mileage information on the Mileage for Volunteer Work question.
Medical Expenses: Menu Path: Deductions/Credits > Itemized Deductions > Medical Expenses
Medical care travel and vehicle expenses are entered on the Deductible Medical Expenses screen. Please be aware that medical expenses are very hard to deduct since you need to itemize your deductions, and your medical expenses need to be more than 7.50% of your income.
The standard mileage rates for 2025 are:
- $0.70 per mile for your job or business
- $0.21 per mile for medical care or moving purposes
- $0.14 per mile for volunteer work for a charitable organization
Vehicle expenses related to your business are entered in the Business Income (Schedule C) section.
Job-related Expenses: Menu Path: Deductions/Credits > Other Deductions/Credits > Employee Business Expenses
Job-related vehicle expenses are entered on the Employee Business Expenses screens. They are only deductible for certain types of employees including: Armed Forces reservists, qualified performing artists, fee-based state or local government officials, or employees with impairment-related work expenses.
Rental Expenses: Menu Path: Income > Business / Rental Income > Rental Income (Schedule E)
Vehicle expenses related to your rental properties are entered in the Rental Income (Schedule E) section.
Commuting expenses for your job, business, or rental are usually not deductible. Here are some examples of deductible vehicle expenses for your job or business:
- Visiting clients or customers.
- Commuting to temporary work sites. For example, an architect traveling to the job site of a client.
- Temporary assignment outside of your area of residence. For example, a construction worker who travels 80 miles to a different city to work on a temporary assignment. An assignment is considered to be temporary if it is expected to last one year or less.
- Commuting from one job site to another job site. For example, if you have a second job, then the commuting expenses from your first job to your second job are deductible. Another example would be a doctor who works in a private clinic but needs to commute to the hospital during the day to visit patients.
- Going to business meetings or conventions.
Vehicle expenses for volunteer work for a qualified charitable organization are deductible as a charitable contribution. Enter these vehicle expenses on the Donations to Charities screen.
If you wish to deduct your actual vehicle expenses, enter the vehicle expenses on the question that asks for out-of-pocket expenses. If you wish to use the standard mileage rate instead, enter your mileage information on the Mileage for Volunteer Work question.
Medical Expenses: Menu Path: Deductions/Credits > Itemized Deductions > Medical Expenses
Medical care travel and vehicle expenses are entered on the Deductible Medical Expenses screen. Please be aware that medical expenses are very hard to deduct since you need to itemize your deductions, and your medical expenses need to be more than 7.50% of your income.
