Corporate Gas Cards

My company offers gas / fuel credit cards for our technicians in place of a vehicle allowance. However, HR is to advise the technicians that the cards are considered income and therefore taxable. Is this true?

It depends on the type of repayment plan that costs you. If you have an accounting, you must submit the expense to your employer to verify your gas consumption, in this case, use the gas card would not be taxable. If your employer has a system of non-responsibility, then you use the card, they include the use of your W-2, then you must deduct expenses net sales or net income using the gas card on your return personal income.

Just because you give a credit card Gas in itself does not necessarily taxable income.

credit card companies of this type can be integrated into an accounting for reimbursements of business.

http://www.irs.gov/publications/p15/ar02 ...

To me, it seems that it would be worth the effort to have a chart of accounts. It saves both the employee and the employer * * taxes.

Yes

Congratulations to your human resources department for pointing this out.

Think about it. You've found free gas and does not turn in all documents. There is no way for your company to know what your mileage is, much less what is for professional use. If you are allowed 50.5cents a mile (2007 number) for each mile of business, they did not follow through or you run the extra money in. Bingo, you're not on a map of "responsible" it is therefore taxable.

However, if YOU * * keep track of your miles you can still deduct them on your tax return (assuming you can itemize and you lose 2% of your AGI because of how he entered the back) .

Yes, but you might be able to take a tax deduction for miles driven activities, if you list.