Can board members be reimbursed for mileage for attending a meeting? We have 2 meetings a month that our members need to attend and some claim the mileage. Should they be taxed on these reimbursements? There is a question as to whether or not these board members should be able to claim the mileage when our regular employees are not "paid" to drive to work.
Mileage for Board Members
Answers
Pay it. I think it's just coincidence that the members that submit mileage live near enough not to require flights and hotel. I don't believe the comparison vs. a regular employee holds here.
I have had Board members submit outrageous (IMHO) expenses. When I spoke with the President his advice was just to pay it; they may have been outrageous, but they weren't egregious.
The board should have an established travel policy for its directors to avoid the confusion. This is the best way to avoid these sorts of awkward situations. The policy should set standards for mileage, first class travel, hotel maximums, meal allowances etc. If you don't specify the policy, its pretty hard to expect a director to know otherwise. Most directors don't know the corporate policies and are happy to abide by the policies when they know them.