Owner-operators can reduce their income taxes in a number of ways, including:

• Claiming all eligible business expenses: Owner-operators can deduct many of the expenses associated with running their business, such as truck maintenance and repairs, fuel, insurance, loan interest, and registration. They can also deduct the cost of meals and incidental expenses when they are away from home overnight on business.

• Taking advantage of the per diem deduction: The per diem deduction is a simplified way for owner-operators to deduct meal and incidental expenses when they are away from home overnight. The IRS sets a daily rate for per diem deductions, which is currently $69 per day in the continental United States.

• Depreciating their truck and trailer: Owner-operators can depreciate their truck and trailer over time, which means they can deduct a portion of the cost of their vehicles each year.

• Setting up a retirement plan: Owner-operators can contribute to a retirement plan, such as a SEP IRA or solo 401(k), and deduct the contributions from their income.

• Filing their taxes as a business: Owner-operators should file their taxes as a business, which means they will use Schedule C to report their income and expenses. This allows them to take advantage of all of the business deductions that are available to them.

Here are some additional tips for owner-operators to reduce their income taxes:

• Keep good records: Owner-operators must keep good records of their income and expenses in order to claim deductions on their tax return. This includes keeping receipts for all business-related purchases, as well as mileage logs and other documentation to support their deductions.

• Use a tax professional: A tax professional can help owner-operators to identify all of the eligible deductions that they can claim and to prepare their tax return accurately.

It is important to note that the tax laws are complex and change frequently. Owner-operators should consult with a tax professional to ensure that they are taking advantage of all of the available tax breaks and to avoid making any costly mistakes. Owner-operators should also consult with a legal professional.