Effective January 1, 2004, the IRS’s standard business mileage rate for transportation expenses will be 37.5 cents per mile, an increase from the 36 cents per mile rate in effect during 2003.
In addition, the 2004 standard mileage rate for operating a passenger car for charitable purposes will remain at 14 cents per mile. The rate for medical and moving expenses will also be at 14 cents per mile, an increase from the 12 cents per mile rate in effect during 2003.
Good question and frankly I don't know the answer. I emailed a friend of mine who might know. I asked him to post the answer here if he does.
Presented with the facts above, and with the assumption that the employee was not compensated by his employer, I would say that the mileage for visits to a medical professional for the purposes of seeking treatment under workers' compensation does qualify for the IRS' standard mileage rate for medical expenses. Parking and tolls would also qualify as a medical expense.
NOTE: For medical expenses incurred during 2003, the IRS standard mileage rate is $.12/mile (rising to $.14/mile for 2004)
Per the annual CCH Editorial Staff publication, U.S. Master Tax Guide:
Medical expenses include amounts paid for the diagnosis, mitigation, treatment, or prevention of disease or for the purpose of affecting any structure or function of the body; transportation and lodging costs incurred on trips primarily for and essential to medical care; qualified long-term care service; and medical insurance (including premiums paid under the Social Security Act, relating to supplementary medical insurance for the aged or for any qualified long-term care insurance contracts that do not exceed certain limits) (IRC Sec. 213(d)).
Fersboo,
Many thanks for the professional advice.
Diane,
Just another friendly service provided by Solport and our friendly readers :-) Have a great holiday.
Don
No worries. Glad I could lend a hand.
Question ... the rate for medical and moving expenses will be 14 cents per mile. Does this 14 cents/mile apply to employees who travel to medical appointments that relate to a workers' compensation claim? Thank you.