Mileage Reimbursement Law Regulations in Maryland (MD)

In my research I found that the only laws governing reimbursement for mileage are with regard to employees of the state. Most employers set their travel regulations to mirror those. State employees may be required to use their privately owned vehicles in order to carry out their assigned duties if a State vehicle is not available or, if the State employee does not satisfy the eligibility criteria or has their privilege to drive a State vehicle suspended. The State is not required to provide a State vehicle to employees who refuse to use their private vehicles to perform their assigned duties. Authorized drivers who use privately owned vehicles for official State business should be reimbursed at the approved rate, except an authorized driver who chooses to use a privately owned vehicle for official business when a State vehicle is available shall be reimbursed at one-half the ordinary standard rate for the use of privately owned vehicles.

The mileage reimbursement rate includes reimbursement for the cost of insurance. Therefore, the State shall not reimburse authorized drivers for any increased insurance premiums attributable to use of their vehicle for State business. The current private mileage reimbursement rate is $.445 per mile. This rate is consistent with the federal standard rate as determined by the IRS.

If your employer chooses not to reimburse you for the miles that you drive than you may claim it as a deduction. If you are given a mileage rate and it is below the federal standard amount than you may be able to claim the difference, however if you are paid at a higher rate, the excess may be considered taxable wages. If you travel regularly for business than you are probably aware of what your company policy is for travel expenses. You may want to discuss with your employer what they consider to be reimbursable.

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