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Are Parking & Tolls Tax Deductible for Self-Employed? Yes — 100% Deduction Guide

100%

Deductible

Line 9

Schedule C

Car and truck expenses

Category

Parking fees and tolls you pay for business travel are fully deductible expenses, even if you're using the standard mileage rate to deduct your vehicle costs. Unlike some vehicle expenses that are bundled into mileage calculations, parking and tolls get claimed separately at 100% deductibility. This applies to self-employed individuals, freelancers, and single-member LLCs filing Schedule C.

Who qualifies?

Any self-employed individual, freelancer, or single-member LLC that pays parking or tolls while traveling for business purposes qualifies. This includes sole proprietors and LLCs taxed as sole proprietorships filing Schedule C on Form 1040.

How to claim it

  1. 1 Track all business-related parking and toll expenses throughout the year with dates, amounts, and business purpose.
  2. 2 Keep receipts or records showing parking/toll payments (credit card statements or toll agency bills work).
  3. 3 Enter the total on Schedule C, Line 9 (Car and truck expenses) separately from any standard mileage deduction.

Pro tip

Save receipts from parking apps (ParkWhiz, SpotHero), toll transponders (EZPass, FasTrak), and parking meters—these are commonly missed deductions that add up quickly. You can claim parking and tolls separately even if you use the standard mileage rate for other vehicle expenses, making this a low-audit-risk deduction to maximize.

Source: IRS Publication 463: Travel, Gift, and Car Expenses

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