To be sure, you will need to add up the total monthly miles you drive and do the calculation. Brian S November 30, At the end of the year, employees can run reports on paid expenses to calculate their expected tax deductions. If your allowance is less than or equal to the federal rate, the allowance will not be included in box 1 of your Form W If you work as an independent contractor, the miles you drive to and from your contract work sites can be deductible as business miles or non-deductible commuting miles depending on the circumstances. The office that I work for is located in Boston; however, I will not be reporting to the office prior to picking up samples for delivery.
Getting to work can be expensive for some people, particularly those who live a considerable distance from their places of employment. It would be nice if you could claim a tax deduction for some or all of the costs associated with commuting to your amoxicillinbuy.gaunately, most people cannot.
Exceptions and unusual circumstances
My employer is telling me that those miles need to be subtracted from my total commute miles before any reimbursement. In most situations, the drive to and from work, regardless of whether it is the normal work site, is going to be unpaid time.
Now, if you were traveling outside of the city for a special one day assignment, then that would be paid travel time. Maybe this post will answer your questions. The amount is reported on my W-2 as income. How much does your employer say he wants to pay you for your phone bill? Some specific portion of it? The mileage you use is a set number that you arrive at by keeping track of your mileage, the phone portion of the reimbursement should be decided on.
I am self employed contract and work for a company to do warranty service work. I travel from my home to residences to do repairs. The company I work for pays only the one way mileage to these locations. Am I allowed to deduct my mileage for the way back? Also, if I do any service calls on my own , can I deduct the whole there and back-round trip mileage? I think it would be best to talk to a tax adviser about that.
The rules may be slightly different as a self-employed individual since all driving for work will likely begin at your house. I heard this was the case in California. Keep hunting for an answer online or ask a tax adviser. Rather than paying me outright for my mileage, my employer applies my mileage reimbursement toward my medical benefits deduction reducing that pre-tax deduction; and if there is anything left, I will get the cash.
I was not informed they would do it this way. I just realized it recently when I questioned a paycheck. This sounds like an unusual situation.
I would talk to an employment lawyer to be sure. It seems to me this would be a more involved process achieving the same end.
Thank you for answering my question. I will definitely discuss this with my employer. I am now using a company gas card, but my car. Gas is paid on a gas card. How do I calculate the. Who fills up the tank? If you do, you should be able to see the cost and make note of it each time. Mileage reimbursement includes gas costs and all auto expenses.
If you saved your reimbursement with each paycheck, you would be able to put that towards your expenses such as oil changes and repairs. Thanks for the response…I should have giving more detail. Can I on top of that also submit mileage reimbursement too for payment back monthly? I thought you can only use one or the other and not both.
I apologize for not understanding but the expense account may just be an unusual scenario. If I understand you correctly, your employer reimburses the auto expenses in an expense account in an itemized way.
So here is your gas money, your oil change, your lease payment, your new tires, etc. Now, there is a chance that he or she over or underpays you and you can find out by doing a simple calculation. Keep track of your mileage which you should be doing anyway and then multiply it by the current IRS rate 57 cents presently. Now, compare that to the amount given to you in your expense account. Is it more is less than that reimbursement amount? If it is more, you will need to claim that as income on your taxes.
If it is less, it would make sense to request that from your employer. However, for the most accurate numbers, you would want to do this for several months and see how it averages out. I would guess that some months the expense account will be over and some it would be under which, at the end of the year, might even out. My second job reimburses me 31 cents a mile for travel between jobs I bought a new car this year that was better on gas mileage since my old car was not good on fuel economy I understand that I can deduct the difference of the 31 cents and the government rate of 56 cents but my question is since I purchased my car this year and paid it off can I use any of the car purchase as a deduction in any way?
I have not heard of using a car purchase as a mileage deduction. I am not sure I am understanding you correctly. I think you would want to work that out with your employer. As long as the cost is the same, it may not matter to them one way or the other. I can file for reimbursement from my employer for mileage.
I rarely have lodging expense. My spouse and I file jointly and our total incomes varies between the , and , range. We withhold additional taxes throughout the year.
The process of filing for reimbursement from my company is annoying in that they require I cost compare if it is cheaper to require me to rent a vehicle or pay me to use my personal vehicle.
Small compact cars create back problems for me. Rather than run the risk of owing more additional taxes at the end of the year, I prefer not to file for mileage reimbursement from my employer and have the option of using the mileage deduction when we file our end of the year taxes.
I keep accurate records of mileage. Am I correct in assuming this is acceptable with the IRS? Hi, I have had an in home tutoring business for years. I have also taken a mileage deduction for year.
Now, I have a salaried job in another county, and then drive to tutoring. My day job, in the other county, is more than 50 miles away. Can I take the 50 miles or do I need to start the mileage when I leave the day job and go to the self employed job?
My employer is wanting to pay for fuel for an employee in his personal van and then also reimburse for mileage. I understand the mileage rate when fuel is not reimbursed. I do not understand what amount to pay if fuel is already paid. Can you please help. You would want to figure the mileage reimbursement after the fuel is figured.
So if the employee saves gas receipts, add that up, figure your mileage reimbursement, and then subtract the gas. I am a salaried employee. It does not state that any specific portion of the car allowance should be used for mileage.
They reimburse me for gas, insofar as I submit gas receipts along with my other travel expenses each pay period for reimbursement. I do keep track of miles driven for work vs. Do I understand it correctly that I should take the miles driven per month, add them all up and multiply by the. If your company …. The key requirement is whether or not your actual expenses were more than your company allowance.
In the event of an audit, you must be able to prove to the IRS the total amount of your actual expenses and reimbursements for the year.
Thanks for your input. There is a difference between tracking actual expenses and using the federal rate. As I understand it, employees are open to using either method. This is all described on page 31 of the publication you noted. Allowance less than or equal to the fed- eral rate. If your allowance is less than or equal to the federal rate, the allowance will not be included in box 1 of your Form W You do not need to report the related expenses or the allowance on your return if your expenses are equal to or less than the allowance.
However, if your actual expenses are more than your allowance, you can complete Form and deduct the excess amount on Sched- ule A Form If you are using actual ex- penses, you must be able to prove to the IRS the total amount of your expenses and reim- bursements for the entire year. If you are using the standard meal allowance or the standard mileage rate, you do not have to prove that amount. Nicole drives 10, miles in for business. If you are paid for your travel time as a home health nurse while seeing patients can you still deduct mileage when you file taxes if your employer does not reimburse you specifically for miles or gas used?
That is a very specific case and there are sometimes different rules with home health care workers. I encourage you to ask your tax adviser. If I drove miles this year, could I not claim that extra. Hi, I recently accepted a part time position as an independent contractor picking up and delivering medical samples for shipping to our Boston office. The office that I work for is located in Boston; however, I will not be reporting to the office prior to picking up samples for delivery.
They will email me daily with where my pickups are to take place that afternoon and I will leave my primary job to do this. Would I calculate my mileage from my starting point being my primary job with a different employer and to my end point of home since there is no office that I am reporting to and there is no centralized location I am based out of?
Or would I calculate it from once I arrive at whatever my first location is to once I arrive to my last location which is sending the packages for shipping? The company I work for just started charging us for driving a company vehicle. They have supplied the vehicle from employment start date for company use and commute into and from work. They have gone back to the beginning of the year and charged us for this use.
I guess my question is can I write off any vehicle expenses or am I just stuck with an extra compensation for my income? I am not familiar with companies charging employees to use company vehicles for work purposes.
I would talk to a lawyer if you have questions. I was provided a Company vehicle as part of my compensation package. The vehicle was damaged in an accident and was never returned to service. I was provided another Company vehicle while it was out of services but with no access to it for my daily commutes to and from home 44 miles each way for six months, five days a week.
My company reimburses me only partially for my mileage. I have miles reimbursed at. I can claim the difference on them right? We turn in our business miles on our taxes. I send a document with the address to and from and mileage.
It has an auto calculator and gives my total amount to at. Can I still qualify to get the extra. Each report is sent every 2 weeks. So I have all documented. Also, the vehicle is not in my name and have put over 30k miles in travel up and down the East Eoast. In order to claim mileage deduction you have to be using your car in conjunction with a business where the employee needs to travel to and from meetings right?
In order to use form does the employee need to file Schedule A or can it be used by itself? Yes, the employee needs to be traveling for work to claim the deduction and they must not claim any mileage that was already reimbursed by their employer. The employee does need to be itemizing their deductions to claim the deduction and so should probably fill out the Schedule A.
If there is any confusion on how to do this, please talk with a tax advisor. My husband receives a fixed vehicle allowance per month — approx. He was required to purchase a vehicle for his job that met certain requirements. This allowance is supposed to help defer the cost of the vehicle. Additionally, he receives a variable amount monthly for work-related mileage.
Is he able to deduct the difference each month, or is the vehicle allowance considered compensation to cover the difference? This is an interesting question. If it is meant to pay for the cost of upkeep then it is definitely part of the total mileage reimbursement.
I use a company vehicle for my position and have unlimited use of the vehicle; this includes night and weekend use. However, I am required to pay for ALL gas work related use and personal.. Is there any deduction that can be used in this situation. Since the vehicle is not yours, you cannot claim mileage but you should be able to claim the gas as a business expense.
Save those gas receipts, track your mileage, and remember that you can only claim the gas reimbursement for miles driven for work purposes, i. I am not entirely sure on this. I have never read anything about this specifically being one of the intended reimbursable expenses but I think you should talk with a tax expert on this.
What if you company only pays you after the first 40 miles at. Can you claim the unpaid, round trip 80 miles? As long as none of those miles are going to and from work and they are all miles driven for work, you can deduct those miles at the full mileage rate.
The remainder of the miles, you can deduct the difference between the IRS rate, and the rate your employer reimburses. Federal labor laws mandate paying employees for travel time.
Mileage reimbursement is totally separate from that. A former and proven dishonest employee is taking us a small mom and pop company to the Labor Board. The company policy was to not pay the first 60 miles as a typical average commute distance and then to pay 0.
He even went ahead and rented a car and is trying to charge us for it. The rental was never authorized. In California where do we legally stand. So if someone is driving an unusual amount of miles to another city to arrive at the job site, then this would be reimbursable. Please let me know what you find out! Can I claim anything on my taxes?
It sounds like you should but it might depend on the distance back home. Definitely talk to your tax advisor about this! I work for a social services company that requires home visits on a regular basis. I drive my own car and am required to have a minimum level of insurance. We were told that we could request reimbursement for mileage but not travel time.
I am not to clock into work until I arrive at either the office or the home. I was also told that mileage reimbursement would not begin until I arrived at the office. Many of my appointments are first thing in the morning, before the office opens.
Would I just subtract that before submitting? I am reimbursed at. I thought that mileage reimbursement had to be paid separately since we have already paid taxes on the fuel when we paid for the fuel originally? My employer in California does mileage reimbursement for us at the regular government rate we turn in mileage forms that track our daily mileage on business.
Is it legal for them to do that? I am not a tax expert but there may be a way for you to get that back when you do your taxes at the end of the year. Discuss it with your tax advisor. If so , how much should I put back pay for the taxes? You would need to track your mileage. Once you figure out how many miles you drive each week you can multiply that by the IRS rate.
If the amount is over what is owed to you with this rate, you need to claim this overage as wages. I am employee medical marketing. I do not have a physical office to go to. Each morning I leave my house and make my first visit Dr. After my last visit, I return home. Is all my mileage for the day deductible? I work for a company that pays the current standard mileage rate for all documented miles. Mileage is to be turned in monthly.
Most of the employees turn in their mileage within a few day of the end of the month. However, one employee holds their mileage for several months sometimes years before turning it in. Can an employer impose a time limit for turning in mileage? Or is there a Federal guideline for this situation?
If you are an independent contractor that drives for a living, can an employer legally force you to accept a lower pay? Such as a small amount per mileage but no other pay for labor? Let alone the upkeep and maintenance of your personal vehicle. If this is the case, you are not profiting from the work. I am super confused. I work from my home office. I do not have an office outside of my home that I work from.
I pay for gas out of my pocket, but get reimburse for it. I drive for work several hundred miles a day. Can I still take the standard mileage deductions on my taxes?
I feel like I should be able to, but not entirely sure? If not, would it be better not to turn in my gas receipts? Very informative page, seeing if maybe you can help shed light on my scenario. I report my mileage end of each month on company provided site which shows fuel consumption, asks how many personal miles driven, etc.
Assuming personal miles gas being deducted from stipend, to be honest I havent been looking as much as I should be. So is my only option for deduction the difference in my expense between my stipend and my expense, multiplied by mileage rate? Find the reimbursement based on the IRS rate and subtract from that what your employer gives you. I work for a mobile imaging company. We travel between a dozen hospitals for work.
So if we travel miles in a day we get reimbursed for Can i only claim the difference with federal rate? The locations do not change much but we contract with the hospitals. What miles can i claim if I make a daily stop on my way into work to pick up parts for our shop? The miles from my home to the parts house, the miles from the parts house to our shop or all miles 1 way from home to parts house and from parts house to shop? I also live outside a metropolitan areaam I allowed to claim the milage?
I am a home health care aide, i have two clients that I take care of and I have to use my own car, now if I read this all correctly I can only claim from one house to another?
So that would be 3 days a week. My job does not give us money for mileage or gas. My husband works for a company that issues a gas card. But for his job he goes to a lot of states. Can he claim his milage on his taxes? He would need to track his mileage to deduct the mileage.
But since he gets a gas card, he would need to subtract that from the figure. For example, he would track the mileage to find the total miles driven for work, multiply that times the IRS rate, and then subtract the amount provided in the gas card. He keeps a log of his business miles separate from personal miles. Does driving to the airport constitute driving to work?
Also, we have kept all receipts for maintenance. Are these business miles and maintenance bills deductible if they exceed the monthly allowance. If your employer asks you to temporarily transfer to a different location with a significantly different journey to your usual regular commute, this may be regarded as business mileage.
However, if you travel to this location for more than two years, it no longer retains its temporary status and your trips there will not be eligible for inclusion in the mileage allowance. There are some forms of employment where you may be expected to undertake a certain amount of travel in the usual course of your work.
For example, if you work as a sales representative for a fashion line, you might need to travel to a number of different retailers to attend sales appointments.
Travel from your home to these locations may be regarded as business mileage. However, in most cases, travelling salespeople are responsible for covering a particular geographical area. If your home is located within this area, appointments attended within this patch may not qualify but anything in a different region would be eligible. If you have to travel to your area of work before visiting clients, this part of the journey would be regarded as your regular commute.
So are you saying that it would be okay from a tax point of view for staff to claim the mileage from home to the client and then from the client to the office if, instead of coming into the office, they went to a clients first?
And also if they visited a client on the way home and then went home they could claim all the mileage tax free at 45p from office to client to home? Have you worked out how much this nit-picking pedantry is costing your company in lost time and needless bureaucracy, not to mention the ill-feeling from the very staff you depend upon to do their jobs well?
You'll find that this cost is much, much greater than any penalty HMRC might - with great difficulty - seek to apply. I do hope you aren't an accountant. This is precisely the sort of narrowed-view lunacy that gives the profession a bad name.
The personal convenience of the employee cannot be the factor that determines relief.
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If you drive your car for work, you can take a mileage deduction on your taxes. Yet, many people don’t know the IRS has some strict rules on what is deductible business driving. Yet, many people don’t know the IRS has some strict rules on what is deductible business driving. The standard mileage rate is set by the IRS every year and this is the deductible rate for your drives. How to Calculate Mileage for Taxes. You can claim mileage on your tax return if you kept diligent track of your drives throughout the year. If you work multiple jobs, you can deduct the mileage you travel from one job to another, but not the miles you drive from your home to your workplace or vice versa. Business Mileage Rate The mileage rate for business miles was cents per mile in and cents per mile in