IRC section 280F(d)(4) states the "listed property" includes any passenger automobile and any other property used as a means of transportation.
Explicitly, this means that your vehicle is listed property; therefore, you do not need a receipt for a vehicle expense that is less than $75.
Keep one key point in mind: Tax law requires proof even when the law says you don't need a receipt. So, always think proof. If you don't have receipts, do your gas expenses help prove your mileage and does your mileage help prove your gas expenses? Do you jot down the cost of gas on a timely basis? The IRS gives you up to one week for this timely test.
W. Murray Bradford, CPA
Tax Reduction Letter
Thursday, July 21, 2011
$75 Rule for Auto Expenses, clarified