Do I have to pay taxes on mileage reimbursement?

Do I have to pay taxes on mileage reimbursement?

Hello,I work for a non-profit as a direct service provider to individuals with developmental disorders. As a requirement of my job, I use my personal vehicle to drive the individuals around to appointments, activities, etc. I report my mileage biweekly, and am reimbursed .43 per mile for my miles driven when an individual is accompanying me. I do not pay taxes on this amount and it is not recorded on my W2.AS is my understanding, since the amount is below the federal rate (which I believe is .55/mile) I do not have to claim this as additional income or pay taxes on it. Is this correct? Also, since I am paid a lower mileage rate than is the federal guideline, am I able to claim the difference as a deduction on my taxes?Furthermore, I am also required to have a certain level of auto insurance on the vehicle I use for work, by my job. Am I able to claim that as a deduction? If so, how would I determine what I could deduct?Thank you in advance for your help!

Judy

You can show the additional mileage amount on form 2106, but it will only do anything for you if you itemize, and then only the amount that's over 2% of your AGI - so chances are, won't matter. No you can't deduct the insurance.

fustercluck

No. It is not income

milton

The mileage reimbursement isn't income it is reimbursement for a legitimate business expense. I'm not sure how the insurance is deductible, you should ask the IRS about that.

tro

of course notin fact the 8 cents you are not reimbursed is a charitable donation you can claim on Sch Ano on the insurance under any circumstances, the mileage rate includes cost of insurance

Ask

insurance

Popular Q&A

Was it hard to get auto insurance after a DUI?
I paid about $385 for a 6 mo. policy. but after my second I wasn't able to get my license back at all. It was only suspended for a year but in Michigan it's a judgment call by the secretary of state weather you get it back or not. 4 years and 2 appeals will have passed by the time my next appeal...

When renting a car on a vacation should one buy a collision damage waiver?
If you can, you should. You never know what could happen out there and you want all the legal protection you can get. Good luck and enjoy your trip.>>>

Federal or CA state law regarding required coverage for a financed vehicle?
Find it from an auto insurance person.California Law requires all motor vehicle owners to have insurance which provides Bodily Injury Coverage and Property Damage Coverage.In the State of California the required minimum coverage for bodily injury is $15,000 per person injured in any one accident...

Do you know that many auto insurance companies base your rate on your Credit Score>? Should this be legal>?
First off, I have been a claims adjuster for 20+ years. Using a credit report to help determine rates is pure BS. As another poster stated many people with good credit suck at driving. Their the ones who are wealthy and too busy to pay attention while driving.I have investigated 1000's of accidents...

Should i have my g2 licence for sure to get my auto insurance?
With insurance your G1 is considered a learners permit. Obviously you know that you can only operate a vehicle with a fully licensed driver with you. A lot of online quoting systems are geared towards the norm so when you attempt to get a quote online and mention the G1 is it not configured...