Whether Kilometric is Income.

Mileage allowance, or reimbursement for business expenses related to the use of one's own car, is a common solution among companies that require their employees to travel frequently on business. However, should mileage allowance be treated as income for the employee?

It is worth noting that under current law, mileage reimbursement should not be treated as income for the employee, since it does not constitute remuneration for work, but only compensation for business expenses incurred. This means that the employee should not pay tax on such a form of remuneration.

However, there are certain guidelines and limits that must be observed when accounting for mileage. First of all, be sure to keep accurate records of the kilometers traveled, including the date, purpose of the trip and the number of kilometers. In addition, there are certain mileage rates that can be reimbursed to the employee for each kilometer driven.

Therefore, both employees and employers should be aware of mileage rules and regulations to avoid misunderstandings and problems when accounting for such expenses. It is also a good idea to consult an accounting firm or tax advisor for additional information and advice on mileage accounting.

In conclusion, mileage should not be treated as an employee's income, but as a form of compensation for business travel expenses. However, it is important to follow the guidelines and limits for accounting for mileage to avoid unnecessary complications and misunderstandings.