How Fleet Managers Can Prepare for Tax Season

Believe it or not, tax season is right around the corner, meaning it’s time for fleet owners and managers to prepare for this critical step of running a business. Tax season for businesses can be especially complex, which is why it’s wise to start preparing early to ensure you have what you need and can get the most out of your available deductions. In the same hand, improper filing may result in missing deductions, paying more than you need to, or even being audited.

Here’s a few tips on how to prepare your fleet for tax season, and how a fleet fuel card can help ensure the information you submit is correct.

Keep Accurate Fleet Management Records

If you’re keeping records the old-fashioned way, now is probably the time of year where you’re scrambling to find receipts, trip reports, and driver records. This results in hours of reconciling receipts to individual purchases, which can come with a chance of error.

Fleet management reports include mileage, fuel costs, taxes, fuel economy, and they should all be available online. Fleet fuel cards come with dynamic online reporting, which eliminates the need to sort through piles of receipts. You can also access transaction reports in real time, giving you the ability to address issues or discrepancies immediately, before they result in costly problems.

Track Driver’s Miles Using a Fleet Fuel Card

Your driving staff should make a distinction between their personal and work miles, because both are taxable, and fleet management is responsible for collecting data on both. If miles aren’t being logged correctly, your business could be at risk for a tax audit.

Fortunately, fleet cards do more than just monitor fuel purchases. You can also see reports on odometer readings and driver identification numbers, which helps you reduce the risk of missing miles.

Take Advantage of Tax Deductions

If there was something you paid for during the year to run your business, you may be able to deduct that expense from your taxable income. The more legal tax deductions you claim, the less tax you have to pay.

The best way to ensure you get the most out of tax deductions is through detailed and accurate record keeping. When your company uses a fleet fuel card, you’ll have the data you need for mileage rates, maintenance and repairs, fuel expenses, purchase reporting, and more.

Year-Round Expense Control with a Fleet Fuel Card

Reports and monitoring expenses should be year-round considerations, nothing just something you think of in April. With a Fuelz Fleet Card, you’ll have real time knowledge of where money is being spent, with customizable options for management solutions for your fleet. Because purchases are automatically uploaded into an online system, you’ll save time and money by not having to track down and reconcile receipts.

Contact Fuelz today to find out how a fleet card can improve your expense tracking and reduce your fuel and maintenance costs.