Monday, May 15, 2006
IRS Urged to Re-Evaluate Mileage Reimbursement Rate
IRS Commissioner Mark Everson is being urged to repeat his action of a year ago and make a midyear recalculation of the allowable mileage reimbursement rate.
In her May 1 2006 correspondence, National Treasury Employees Union President Colleen Kelley wrote, "We now find ourselves back in the same position. Gas prices are reaching record levels and private as well as public sector employees are bearing the costs of traveling for their employers."
The current IRS mileage reimbursement rate stands at 44.5 cents per mile (1-Jan-2006) for business miles driven. That rate is down from the special 48.5 cent rate in effect 1-Sept-2005 thru 31-Dec-2005, a special midyear adjusted rate put into effect following Hurricane Katrina and the disruption to national gasoline distribution.
Kelley is also on record of supporting legislation (S. 1678) that would temporarily increase the mileage deduction for business and charitable travel to 60 cents per mile.
Families who require their nanny or household staff to use the employee's private vehicle for 'business' purposes such as transporting the children in their care generally rely on the IRS mileage reimbursement rate to calculate employee expense reimbursement.
Source: BNA Payroll Administration Guide 3-May-2006.
In her May 1 2006 correspondence, National Treasury Employees Union President Colleen Kelley wrote, "We now find ourselves back in the same position. Gas prices are reaching record levels and private as well as public sector employees are bearing the costs of traveling for their employers."
The current IRS mileage reimbursement rate stands at 44.5 cents per mile (1-Jan-2006) for business miles driven. That rate is down from the special 48.5 cent rate in effect 1-Sept-2005 thru 31-Dec-2005, a special midyear adjusted rate put into effect following Hurricane Katrina and the disruption to national gasoline distribution.
Kelley is also on record of supporting legislation (S. 1678) that would temporarily increase the mileage deduction for business and charitable travel to 60 cents per mile.
Families who require their nanny or household staff to use the employee's private vehicle for 'business' purposes such as transporting the children in their care generally rely on the IRS mileage reimbursement rate to calculate employee expense reimbursement.
Source: BNA Payroll Administration Guide 3-May-2006.
