I’m doing the child support worksheets, and have to list my income. Do I include my mileage checks in the calculation, or is mileage somehow not considered “income”?
I suppose I’ll have the same question when tax time rolls around…
Thanks!
karol
Normally, mileage reimbursements at the current IRS mileage rate are not considered income. They’re just a reimbursement of expenses.
If you’re reimbursed below the current IRS rate (36¢/mi.), you may be able to claim a deduction, provided your whole tax picture allows for that. That would include both a.) itemizing being a viable tax strategy for you and b.) not otherwise deducting automotive expenses.
If you’re reimbursed above the IRS’ current rate (dream on), the overage would be considered income.
Are you leasing the vehicle?
I drive my own van, and the route is about 70 miles/day, 5/week. I’m reimbursed at .32/mile.
When I file taxes, I’ll file as head of household. If I can help it, I won’t even mess with itemizing mileage, etc. Of course, I do paper routes as well as the other job, to the tune of about 500 miles/week for both jobs, so I suppose I’ll have to see what works best taxwise.
My main concern, though, is the child support calculation. $400 over the course of a month could make a pretty big difference in the support I’ll receive.
Thanks for the response!
k
IANATaxGuy, but a superficial look indicates that itemizing may not be worth it for you; nevertheless, the mileage checks are not income.
Cool beans. Thanks, Ringo!
I had an argument with a woman that works for my state’s child support agency. I had filled out some paperwork that included income information. When I turned in the paperwork, she asked me how much I had received for and income tax return. I told her and she added that to my income. I protested claiming that the tax return was a refund of taxes paid and was already included in income from the previous year. She claimed that it was income and had to be included. She would not listen to me. At the hearing to set my support, I protested the figures given to the court and explained why. The woman argued with the judge and claimed she had done the same for 20 years. The judge moaned and explained to the woman that the money from tax returns in not taxable and is not income. My support was modified accordingly and the judge wanted a review of any other cases the woman had been involved with the previous 30 days.
Too bad it would be horrendously difficult to look at the last 20 years of her efforts.