So you’re a 1099MD running around town or the country filling jobs wherever and whenever the opportunity arises.

The fact is, if you have an LLC or similar and a hospital engages your company (whereupon you go to work on behalf of your company as its employee) then you are playing the 1099MD game correctly.   Someone has to manage the company and thats you.

Being a 1099MD means you have plenty of administrative work to do:  health insurance, payroll, accounting and tax prep, and much more.    Where are you doing this?  Why, at home of course!  And why is that important?

Because now commuting from your home to other work sites is deductible.   Whether its mileage or % use writeoff, you’ve got a valuable deduction worth thousands.   Note the earlier article on bonus depreciation under section 168(k).. buying an SUV and writing off % business use.

Of course, you can  write off a portion of your home as a home office, however, this is complex and may not be worth the hassle.   But the transportation deduction discussed above is easy and straightforward.   And, its supported by case law and the IRS publication 17 itself which states:

“If you have an office in your home that qualifies as a principal place of
business, you can deduct your daily transportation costs between your home and another work location in the same trade or business.”

Link:  https://www.irs.gov/pub/irs-pdf/p17.pdf

So there you have it, enjoy the savings and stay tuned for more tips.