Dear TaxGuru,

I am rather confused about claiming auto expenses on my tax return. Can I claim actual auto repair expenses as well as the mileage rate??

I really spent a considerable amount of money on auto repairs for my car, which I use 100% for business. Also, I drive a considerable amount for business, so I was thinking how I should best be deducting auto expenses to save maximum taxes.

Need your advice on this one. Thanks a lot...

no, you use one or the other. Your tax software will probably ask you to run scenarios of both to see which is best.

thanks for making things clear cfpclu. I've been confused with regard to this matter but good thing i've read this thread.

The Internal Revenue Service offers taxpayers the option to either take a standard deduction or to itemize their deductions on their taxes. If you have limited mileage and toll expenses but not significant other deductions, such as medical costs, mortgage interest or charitable donations, it is unlikely that you will benefit from not taking the standard deduction. In 2009, the standard deduction is $11,400 for married couples filing jointly, $8,350 for heads of household and $5,700 for singles or married individuals who file their own tax returns. The IRS allows vehicle expenses and tolls incurred for business to be deducted if you itemize.