Turn on suggestions
Auto-suggest helps you quickly narrow down your search results by suggesting possible matches as you type.
Showing results for
Hello
I have a S-Corp where I am a shareholder member. I have kept a log of my mileage for when I have to travel for work related trips. How do I record this mileage into QBD? I know it's not an expense that I enter into QB but not exactly sure how I should be entering my mileage. Would it be Debit Mileage Expense and Credit Shareholder Distribution?
TIA
EDIT: Sorry I'm still working on my 2022 expenses to enter into QBD. Had health issues earlier this year and had to put in an extension for filing 2022. So I'm finally catching up on my bookkeeping.
I was told by a CPA that I can't claim my gas receipts for reimbursement instead I'm suppose to track my business miles to claim as a tax deduction. I'm also to use the IRS mileage rate to calculate how much mileage to claim.
In an s-corporation a distribution to one partner, means a required like amount be distributed to all partners (shareholders). Of course that can be "caught up" at year end, but this instance it does not make sense at all.
See this for an indepth explanation of mileage reimbursement in an s-corp
https://www.collective.com/blog/bookkeeping/how-to-deduct-s-corp-mileage/
Why are you under the impression that this is not an expense to the S-corp? It generally depends on whether the S-corp has an Accountable Plan or a Non-accountable Plan. If you have an Accountable Plan, you can submit your mileage log and be reimbursed for mileage without it being reported as wages. If you have a Non-accountable Plan, then the reimbursement should be treated as wages.
I have a 1 person LLC so I claim taxes on Schedule C. I do not want to be reimbursed monthly for my mileage.
What is the journal entry for this so I can reduce year end tax liability. I have a mileage app to tract my business miles.
You have clicked a link to a site outside of the QuickBooks or ProFile Communities. By clicking "Continue", you will leave the community and be taken to that site instead.
For more information visit our Security Center or to report suspicious websites you can contact us here