DanielV01
Expert Alumni

Business & farm

That may be.  However, if you submitted mileage to your company, then you can be reimbursed up to 54.5 cents per mile for the business use of your car.  It's one of the few generous spots of the tax code, because very few people spend 54.5 cents/mile on their car expenses, so a good chunk of the reimbursement ends up being "tax-free" money.  It is why an accountable plan is so beneficial:  the money you receive is tax-free, whereas the company still gets the business expense for reimbursing you.  Because of tax law changes through the Tax Cuts and Jobs Act, deducting these expenses on the tax return is no longer an option, so an accountable plan is a significantly better way to account for these expenses.  Double-check with your payroll company if you wish, but your W-2 doesn't sound like any additional entries are needed.
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