Yes. Exactly. This is called a non-accountable plan. With
a non-accountable reimbursement plan, your reimbursement should be included in
your taxable income. In that case, you are allowed to deduct all your
car expenses as if you received no reimbursement.
To
enter mileage for your work as a W-2 employee:
1.
Open (continue) your return in TurboTax if it's not already open.
o
Online versions: Make sure you've gone past the blue Simple and
accurate screen.
2.
In TurboTax, search for 2106 and then click or tap the
"Jump to" link in the search results.
3.
At the Tell us about the occupation you have expenses for screen,
enter your occupation, then click or tap Continue.
If
you land on the Job-Related Expenses Summary screen instead,
you can either select Edit (for an existing job) or Add
Another Occupation (for a new one).
Tip: If the only
work-related use of your car is commuting back and forth between your home and
main workplace, don't enter any vehicle mileage or expenses. The IRS doesn't
let employees deduct commuting costs.
Here
is what's considered deductible mileage:
Your trip between your home and your regular or
main job is never deductible.
A trip between your home and temporary work
location is deductible if your main job is at another location.
Your commute between home and second job is never
deductible on a day off from your main job.
Your trip between your regular job and temporary
job is always deductible.
Your trips between your main and second job are
deductible.
-
Your trips between temporary work locations and a
second job.
