Mileage reimbursement and taxes?

Hello! I'm a homeware nurse who gets reimbursed mileage for my traveling distance from the first patient home to all of the other patients and then my last patient home. I do not get reimbursed from travel to my first patient or from my last patient (just like driving to and from work) it is paid out at $0.46 per mile which is under the IRS suggested reimbursement. the reimbursement shows up in my W-2 as part of my taxable income, but I don't see how it could be as its a reimbursement and does not exceed the IRS guidelines. Do I subtract the amount that I was reimbursed for mileage from my total amount of income when submitting the information for my taxes on my w-2s, since it isn't actually income and is reimbursement for use of my car and gas to see patients? 

5 Answers

  • Eva
    Lv 7
    1 month ago

    Employee business expenses are not deductible and you can't change the amounts on your W2.  It sounds like your employer has an accountable plan which means you are turning in the mileage every week.  Accountable plans are not supposed to be included in your taxable wages.  Pull the information from IRS publication 535, page 43 and show it to your boss or payroll department.  They must correct the W2.

  • 1 month ago

    No, you do not.  It is income.  Your employer deducted it already.

  • Anonymous
    1 month ago

    Where on the W-2 does it show up?

    Box 1?  If there, you are stuck.

    Box 12, code L, not income. Documentation only.

  • Pearl
    Lv 7
    1 month ago

    i would ask a tax place about it

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  • 1 month ago

    It's included because it wasn't through a qualified plan.

    You do not subtract it.  Any money that you are paid, including reimbursements, actually is income, although it would not be taxable income if your employee had paid it through a qualified plan.

    There used to be a law that would have allowed you to deduct the same amount (the IRS mileage rate times your miles) as an employee business expense, but the law was changed and this is no longer allowed for W-2 employees.

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