What is Mileage Log? What Law Says About Tracking Mileage for your Tax Returns?

Mileage Log

You may feel overwhelmed and intimidated when you first start tracking mileage for work. If you are self-employed, own a small business, or manage a fleet of vehicles, you need to know what is subject to tax returns or mileage reimbursements, and how to keep track of mileage in an IRS-approved way. What is the best way to keep track of business mileage?

What’s a mileage log and what is it used for?

All the miles driven in the vehicle used for business purposes, either it belongs to the company or is owned by the employee, are qualified as business mileage and should be placed in a mileage log.

Tracking mileage for work is necessary for the purposes of a tax return of mileage reimbursement, which means the compensation of driving related business expenses of workers (fuel costs, maintenance, vehicle depreciation). It concerns small business owners, self-employed, and big companies with fleet vehicles, keeping track of mileage of the company drivers.

How to keep business mileage records

It’s important to differentiate between business-related expense tracking, and personal costs. For example, driving to lunch with a business partner is a deductible cost.

The calculation for the mileage reimbursement purposes may be done according to the standard mileage rate (58.5 cents per mile until June 30, and 62.5 cents per mile from July 1 to December 31, 2022). You can also use a fixed car allowance, a custom cost-per-mile rate, and FAVR (Fixed and Variable Rate).

It is also possible to pay per month for a fixed car allowance, a custom cost-per-mile rate, or FAVR (Fixed and Variable Rate).

To track mileage for work you can use traditional but more time-consuming methods, completing Excel, or Google Spreadsheet. It’s a much better idea though to use a mileage tracker app.

The benefits of using a mileage tracker app

The key benefits of using a mileage tracker app are saving your time and money. Using apps such as MileageWise gives you a team dashboard, allowing all your drivers to keep tabs together, to create a complete mileage log book.

Tracking miles for mileage tax deductions can’t be easier thanks to special apps, which are even able to recreate your mileage log if you have forgotten to record your trips.

Detecting logical conflicts is another great benefit, which can’t be done so easily when manually recording miles.


MileageWise is a completely IRS-proof software, giving you the possibility of retrospective mileage log, team dashboard, 3 auto-tracking modes, mass distance calculation, built-in IRS auditor, capable of detecting 70 logical conflicts, Google Timeline Trip import, vehicle-client pairing, and many more functions. Log in to your bank account and buy the mileage tracking app now and let the journey begin.