Tax Write Off

[rockylad_75]

Hi!

I am starting my part time massage job at this wonderful wellness clinic next week. This is going to be my first gig as a massage therapist.

I also have a full time office job and somedays I will be traveling from my office to the clinic.

My questions is - can I write off mileage when I travel from my 1st job to the clinic? How about from the clinic to home? I read that I can't write off the mileage if I am traveling directly from my home to the clinic. Is this true? How about fees for toll road?

Thank you for your help!
Aya

 

[Smiling]

Depends on a couple of things.

1) if you are an employee of the clinic, then NO

2) if you are an IC of the clinic, then MAYBE

You have to have a practice independent of the clinic that at least equals your income from the clinic in order for this to be a business expense -- ie: you are travelling to see "other" clients, just as you could deduct mileage for doing outcalls from your existing practice.

But if the clinic represents the majority of your massage income, that would be a red-flag, no different than trying to claim commuting costs from your 9-5 job.

 

[morris994]

Tax Write Off

I also have a full time office job and somedays I will be traveling from my office to the clinic.
Aya

Is this FT office job as a massage therapist?

Brian

 

[Pompal 09.]

i am able to write off my mileage to/from my office (from home). i remember my accountant making reference to how i have my business set up as to why i can use it as a write off. talk to your accountant. if you don't have one, you should consider it...it's worth every penny to have a good one!

 

[sminthian1980]

Depends on a couple of things.

1) if you are an employee of the clinic, then NO

2) if you are an IC of the clinic, then MAYBE

You have to have a practice independent of the clinic that at least equals your income from the clinic in order for this to be a business expense -- ie: you are travelling to see "other" clients, just as you could deduct mileage for doing outcalls from your existing practice.

But if the clinic represents the majority of your massage income, that would be a red-flag, no different than trying to claim commuting costs from your 9-5 job.

What is the difference between an employee and independent contractor?

 

[Aerohead]

Tax Write Off

I also have a full time office job and somedays I will be traveling from my office to the clinic.
Aya

Is this FT office job as a massage therapist?

Brian

Brian,
My FT office job is not as a massage therapist....

Thanks!

 

[Patience]

What is the difference between an employee and independent contractor?

A lot.

If they are witholding taxes from your pay, then you are an employee.

However, they may be treating you as an employee (which gets complicated to determine some times) but paying you as a contractor.

Happens a lot in the industry.

 

[www.crystalsmassage.com]

Tax Write Off

Is this FT office job as a massage therapist?

Brian

Brian,
My FT office job is not as a massage therapist....

Thanks!

Aya,
I ask because my understanding is this ...

Mileage can only be claimed if driving happens for work related reasons after you leave your massage office. So, if you are at your massage office and leave to go to the post office, or to buy flowers for your office, or to pick up office supplies; you can claim the mileage to your destination and back to your office.

If you are driving somewhere to see a client, mileage is counted from your office and back. If you are driving for a continuing ed class, mileage is from your office and back. Get the idea?

Now, if you set-up a 'home office' that you claim on your return you can step into your home office and check your work e-mail before you leave and then you can count the mileage for any work related travel. Make sense? That's how therapists who only do out-calls are able to claim mileage. Because their 'office' is home.

As I said, this is my understanding based on how it was explained to me. Please, double check with your accountant for specifics.


Brian

 

[JarArrize]

i am able to write off my mileage to/from my office (from home). i remember my accountant making reference to how i have my business set up as to why i can use it as a write off. talk to your accountant. if you don't have one, you should consider it...it's worth every penny to have a good one!

You should look at little further into this.
From what I've been told you cannot.
If you do some business related issue on your commute then you can.
Commuting is commuting. ~M

 

[Morey000]

i am able to write off my mileage to/from my office (from home). i remember my accountant making reference to how i have my business set up as to why i can use it as a write off. talk to your accountant. if you don't have one, you should consider it...it's worth every penny to have a good one!

You should look at little further into this.
From what I've been told you cannot.
If you do some business related issue on your commute then you can.
Commuting is commuting. ~M

i have already looked into it. my accountant said that because of how i have my business set up (something to do with being an llc but a sole prop. llc- no employees etc.) that yes, i can deduct my mileage to and from my home. i don't know the specifics exactly but yes, i can deduct mileage and it's legal because of how my business is set up. maybe something to do with having 2 offices (home office & actual office). so that is another reason why it's important to talk to an expert about setting up your business. there's more to it than you think.

i bet if you were to google the topic you'd find it. i think it's a little "unknown" tax that people are mostly unaware of. but you should be totally aware of it because it is a huge deduction if you're eligible for it.

 

[M D]

What is the difference between an employee and independent contractor?

A lot.

If they are witholding taxes from your pay, then you are an employee.

However, they may be treating you as an employee (which gets complicated to determine some times) but paying you as a contractor.

Happens a lot in the industry.

Tax will be taken out from my checks so I am an employee then...
Thank you!
Aya

 

[dinogirl69]

I don't think any CPAs would go for an employee trying to deduct their commuting costs.