Mileage Allowance


DEFINITION of 'Mileage Allowance'

A deduction of automobile expenses for people using their vehicles for business, charity, moving, medical or any other purpose that qualifies for a deduction.

BREAKING DOWN 'Mileage Allowance'

There are different categories of purposes for deductible automobile-expenses, each of which has a specific cent-per-mile deduction. Careful documentation of the mileage and the reason for the trip is essential for audit-proofing your taxes.

  1. Fixed and Variable Rate Allowance ...

    A way of reimbursing employees who use their own or leased vehicles ...
  2. Convention Expenses

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  3. Deduction

    Any item or expenditure subtracted from gross income to reduce ...
  4. Write-Off

    A reduction in the value of an asset or earnings by the amount ...
  5. Gas Guzzler Tax

    An additional tax on the sale of vehicles that have poor fuel ...
  6. Exempt Income

    Certain types or amounts of income not subject to federal income ...
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