Last week I shared the different ways many nannies and household managers pay for expenses for the home. Our NannyFusion member, 4nannytaxes.com recently shared some information on the same situation.
The IRS has apparently made some recent updates to their (Sec. 62(c) (Rev. Rul. 2012-25)) that provides information to employers.
I found interesting the part on the mileage reimbursement. Make sure you read the article in full as well as (Sec. 62(c) (Rev. Rul. 2012-25)).
Particular attention is paid to mileage reimbursement. A flat “mileage allowance” is not permissible, rather a log that documents date, start and stop locations, mileage, and business purpose must be maintained in order to reimburse mileage on a tax free basis. The Microsoft website has a mileage log/reimbursement form available for download that works wonderfully.
To read the rest of the article please visit
Household Employees? Guidance on Reimbursement of Expenses
louis vuitton handbags