Consult your accountant or tax advisor. In the USA, the IRS has fairly strict rules about what counts as business mileage. Most businesses that I have worked for follow those rules. This limits both exposure and liability to a company if you follow the same rules.
In general, I believe a fairly accurate one sentence summary would be to say that whatever mileage exceeds the round-trip from home to office, driven for business purposes, would be reimbursable. There are exceptions. Note that you aren't required to pay mileage expenses. The IRS allows people to deduct vehicle expenses (or a portion thereof), or if you reimburse less than the IRS allotment they can deduct the difference between what you reimbursed and what the IRS allows. Anything over the IRS allotment must be treated as income, by both you and the employee. Regards, Michael B. Smith Consultant and Exchange MVP http://TheEssentialExchange.com From: Cesare' A. Ramos [mailto:[email protected]] Sent: Thursday, April 07, 2011 3:16 PM To: NT System Admin Issues Subject: ?? on Field service reps / Mileage expense Hellos. Trying to figure some things out and thought I would ask the peanut gallery for opinions. We are a service company and have service reps on the field visiting clients. With the increase of fuel and such, I am considering a formal policy on either mileage reimbursement or monthly gas allowance. What are your thoughts? Should or would you set daily minimums (i.e. only reimburse over 15 miles)? Just looking for general thoughts. Thanks. CAR This e-Mail and any files transmitted with it are confidential and intended solely for the use of the individual or entity to whom they are addressed. If you have received this e-Mail in error please notify the sender via returned e-Mail. Please note that any views or opinions presented in this e-Mail are solely those of the author and do not necessarily represent those of the company. Although IDF operates anti-virus programs, it does not accept responsibility for any damage whatsoever that is caused by viruses being passed. ** Think before you print this message. ** ~ Finally, powerful endpoint security that ISN'T a resource hog! ~ ~ <http://www.sunbeltsoftware.com/Business/VIPRE-Enterprise/> ~ --- To manage subscriptions click here: http://lyris.sunbelt-software.com/read/my_forums/ or send an email to [email protected]<mailto:[email protected]> with the body: unsubscribe ntsysadmin ~ Finally, powerful endpoint security that ISN'T a resource hog! ~ ~ <http://www.sunbeltsoftware.com/Business/VIPRE-Enterprise/> ~ --- To manage subscriptions click here: http://lyris.sunbelt-software.com/read/my_forums/ or send an email to [email protected] with the body: unsubscribe ntsysadmin
