Mileage Rate for Small 501c3 Non Profit Organization

by Marcia
(Arkansas)

I hope someone has the answer to this. We operate a small Non Profit Ministry that is NOT A CHURCH!

We are exclusively an evangelistic outreach ministry. We travel extensively. We do not pay the any salaries at this time, but wish to pay the founder and president mileage for travel to and from ministry outreach events and engagements.

My dilemma is this. I have seen conflicting information as to how much to reimburse for mileage.

I am confused because I see so many paying church pastors and employees more than the .14 cent per mile allowed for nonprofit volunteers.

I guess the question to answer is whether or not he is an employee even though he does not take any salary, wages etc. or is he a volunteer?

The next question is what is the allowable amount of mileage a non profit organization may pay employees? Is that amount different from the 14 cents a mile I see on the IRS website?

It is my understanding that anything over that 14 cents per mile must be reported as income? We have been paying 14 cents per mile until we get further clarity.

Thank you all in advance for your help!

Marcia


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