Expert: Shirley McAllister, CPP, PHR - 2/27/2009

Question
The company I work for reimburses me 48.5 cents for mileage.  Unfortunately 3 weeks ago my car was broken into and my GPS was stolen along with my window being busted out.  Since I do not have full coverage on my vehicle I went to my employer asking to be reimbursed since I use my car for work and I was on the job at the time of the break in.  I was told by them that is why we get 48.5 cents a mile reimbursement and that it was to cover normal wear and tear on my vehicle therefore they would not cover it.  Is there something in the tax laws that states what is normal wear and tear and what the mileage reimbursement covers.

Answer
The company is not responsible for your car being broken into, even if you are working, that is why you have automobile insurance.

The mileage reimbursement is for using your vehicle while performing company duties. That is the description, and there is no detail. Also the amount is a guideline by the IRS that the company may use. If mileage is not reimbursed it can be deducted from your income taxes, it is not a law that it has to be reimbursed by the employee.

File a police report and then you can deduct it from your income taxes.

Shirley