Is Tolls Tax Deductible for Your Business?

Yes, tolls is generally tax deductible for self-employed individuals, freelancers, and small business owners. The IRS allows you to deduct ordinary and necessary business expenses, and tolls typically qualifies when used for legitimate business purposes.

Key Rules for Deducting Tolls

Tolls incurred during business travel are deductible. Tolls for regular commuting are NOT deductible.

Requirements to Claim This Deduction

• Must be during business travel, not commuting
• Keep E-ZPass/toll statements
• Highlight business trips in records

How to Document Tolls for Tax Purposes

Proper documentation is critical for any business deduction. For tolls, you should:

• Keep all receipts and invoices showing the amount paid
• Record the date of the expense and the business purpose
• If mixed-use, maintain a log showing business vs. personal usage
• Store records for at least 3 years (7 years for major purchases)

Source: IRS Publication 463. This information is for educational purposes only. Consult a qualified tax professional for advice specific to your situation.