Am I doing my mileage write off correctly?
I drove Uber with my personal car for extra income purposes. And I want to understand how the mileage write off works.
Last month, in June, I drove 1671 km out of 2772 km total I drove. So about 60% of my total km last month was for business purpose.
According to CRA's mileage allowance rate below, what kind of calculation do I do to come up with how much I am writing off of my LINE 150?
https://www.canada.ca/en/revenue-agency ... rates.html
Is it like this? (assuming I haven't driven 5000 km for business purposes and last month was my first month)
1671 km x $0.58 = $969.18
Let's assume my LINE 150 is $25000 after claiming other expenses such as gas, auto insurance and car payment and now only the mileage is left to claim.
So do I do $25000 - $969.18 = $24030.82 , making my taxable income $24030.82. Of course there are more tax credits and possible deductions but I want to just focus how the mileage is claimed.