Tax Deductions Every Owner-Operator Should Know

If you’re an owner-operator in the dump trucking industry, taxes can feel overwhelming — but knowing what you can deduct can save you thousands of dollars each year. At 326 Trucking, we want to help you keep more of your hard-earned money, so here’s a guide to the most common tax deductions for independent drivers.

Why Deductions Matter

As an owner-operator, you’re essentially a small business owner. That means:

• You pay self-employment taxes

• You’re responsible for tracking expenses

• You can reduce your taxable income with qualified business deductions

Every dollar you deduct lowers your tax bill — and sometimes even increases your refund.

Top Tax Deductions for Dump Truck Owner-Operators

1. Truck & Trailer Payments

If you financed your truck or trailer, the interest portion of your loan payment is deductible. (Not the principal, just the interest.)

2. Depreciation

Your truck is considered a business asset. The IRS allows you to depreciate its value over time or use Section 179 for larger up-front deductions. Talk to your tax pro for the best strategy.

3. Fuel & Maintenance

Fuel is often your biggest expense — and it’s 100% deductible. The same goes for:

• Oil changes

• Tires

• Brake jobs

• Minor and major repairs

• Washes to keep your truck plant-ready

4. Insurance Premiums

Your liability, cargo, and physical damage insurance costs are fully deductible. Don’t forget about bobtail insurance if you have it.

5. Permits, Licenses & Fees

Anything required to operate legally:

• CDL renewals

• DOT registration

• Permits for overweight or oversize loads

• Plant access fees

6. Tolls & Scale Fees

Every toll booth and every CAT scale ticket adds up — and yes, they’re deductible.

7. Meals on the Road

If you’re away from your tax home for work, the IRS allows a per diem deduction for meals. Check the current rates each year.

8. Cell Phone & Communication Costs

If you use your phone for dispatch, navigation, and customer communication, you can deduct the business portion of your bill.

9. Office Supplies & Admin Costs

Even if your “office” is the cab of your truck:

• Logbooks

• Notebooks

• Pens

• Business software like load tracking apps or bookkeeping tools

10. Professional Services

Tax preparer, accountant, or legal fees? All deductible if they relate to your trucking business.

🛠 Pro Tip: Keep Great Records

The easiest way to miss deductions is to forget about them. Use:

• A dedicated business bank account

• Expense tracking apps or spreadsheets

• Save all receipts digitally (scan or snap photos)

What NOT to Deduct

• Personal expenses (Netflix, groceries, family vacations)

• Clothing (unless it’s branded safety gear)

• Fines or penalties (like overweight tickets)

326 Trucking Helps You Stay Organized

We can’t file your taxes, but we can make your life easier by providing:

• Clear settlement statements

• Accurate route and load details

• Weekly payment consistency to help you plan ahead

Ready to Get Started?

If you’re thinking about getting into aggregate hauling, we’d love to talk. Whether you already have a truck and trailer or you’re just now exploring the idea, we’re happy to walk you through it.

Reach out to us at trucks@326trucking.com
Or check out our Owner Operator Onboarding Info Page