The law is clear: Keep a mileage log or lose your vehicle deductions.
George Gist learned this lesson the hard way. On December 13, 2003, Mr. Gist purchased a Ford F-250 for $53,625. He asked his CPA to expense the truck, using Section 179, which the CPA did.
The IRS audited Mr. Gist’s tax return for 2003 and asked him for the business mileage log on this truck. Mr. Gist had no such log. Next stop: court.
In court, Mr. Gist testified that he placed the truck in business service shortly after purchase and drove it only for business use until the end of the year. He further testified that ... Log in to view full article.