Thanks for reaching out to the Community about this, kimberlyimint.
If you're using our Payroll services, you can create a non-taxable reimbursement item for things such as travel, mileage, or non-taxable insurance reimbursements.
Here's how:
- In your top menu bar, go to Lists, then Payroll Item List.
- Click Payroll Item, then choose New.
- Hit the Custom Setup button.
- Press Next.
- Pick an Addition type and click Next.
- Choose an expense account to track travel or mileage amounts. If it's an advance to your employee, you'll want to pick an asset account.
- Set the Tax Tracking type to None so that the amounts don't report on tax forms.
- For amounts paid per mile/kilometer, tick your Based on Quantity checkbox.
- Choose to calculate on net pay.
- Enter a Default Rate, then select Finish.
Now you'll be prepared to add the item to your employee's record.
I'll be here to help if there's any additional questions. Have a wonderful day!
