Mileage Log for Employee Business Driving

This procedure records employee driving submitted for possible US reimbursement; it does not determine payment or a tax deduction. IRS Publication 463, Chapter 5, Table 5-1, lists the date, business destination, purpose, miles for each business use, and total annual miles as car-expense proof elements. Chapter 6 separately explains accountable-plan reimbursement. Employer policy may request additional details.

Make one entry for each business trip

Create the entry when the trip occurs, not from a monthly estimate. Record date, starting point, destination, work purpose, odometer readings or miles, and any employer-required identifier. For multiple stops, record each leg or explain the connected activity. “Visit project site for scheduled inspection” is more useful than “work.” Publication 463 Table 5-2’s sample log includes date, destination, purpose, start, stop, and trip miles; it is an example, not an official form.

Keep business, commuting, and personal miles distinct

Do not label a route business mileage merely because work occurred during a personal commute. Record business trips separately from commuting and personal driving. Publication 463 Chapter 4 generally describes travel between a residence and a main or regular work location as commuting, with specific exceptions elsewhere in its Transportation chapter. Preserve the route and purpose rather than deciding an unusual classification through a checkbox.

1. Enter the trip date and origin/destination or route.
2. State the specific business purpose and destination.
3. Record trip miles or start/stop odometer readings consistently.
4. Tag commute and personal miles separately from business trips.
5. At period end, reconcile business trip totals to the odometer and employer claim.

Worked example: office to supplier to job site

An employee drives from the regular office to a supplier for a named work order, then to a customer site and back. The log shows each destination, purpose, and miles so the use is clear. If the employee makes a personal stop, note it and separate the personal segment. If the trip begins at home, record that origin and flag the home-to-work segment for review under IRS guidance and employer policy.

Correct missing or inconsistent entries

If date, purpose, route, or mileage is missing, ask the driver to reconstruct it from available records such as a calendar or work order and identify it as reconstructed. Do not fabricate readings or round unexplained miles. Publication 463 Chapter 5 discusses timely records and other evidence in certain exceptional circumstances; reconstruction is not guaranteed to satisfy a tax review. Escalate material gaps.

Review without conflating reimbursement and tax treatment

A reviewer checks completeness, duplication, work purpose, and consistency. Apply employer reimbursement rules separately from Publication 463’s IRS substantiation concepts; approval does not make every payment deductible. Do not put a mileage rate in the log. Check current official instructions separately for rates, eligibility, or reporting questions.

• Capture the date, route, business destination, purpose, and miles.
• Separate commuting and personal use; flag ambiguous routes.
• Reconcile trip records against totals and supporting work records.
• Document corrections and unresolved questions.
• Apply policy and tax review as distinct steps.