Write offs?

Anything you purchase for the use in your job is a taxable item and can be deducted. I wrote off my laptop, road map manuals, my cooler, clothing that I buy strictly for work use, shoes, and anything else I use for my job. I wrote off the tools I carry in the truck, batteries for the flashlight as well as the flashlighht itself, and so on and so forth.

 

All deductable as part of the job. I do recommend that you have a good accountant that handles trucking related work, vice the local H&R Blockhead that only works 4 months a year. I pay 300 a year for a trucking specific tax firm and they handle all my tax needs and filings.

 

I was told last year that I couldnt use my cell phone and I dont think I use my laptop either but Im not sure. I got it off ebay. By the way, do you generally get all your federal tax dollars back?

 

Per diem is the cost of meal allowance, as I understand it. Have used per diem deduction every tax year I've been an OTR driver. Now there is a per diem rate for each state. I take the average since I drive lower 48. For 2006 taxes, I understand per diem is in the $50 range per day. Multiply rate per day ($50 in this example) by how many days you spent on the road away from home, say 355 in my case. That's $17,750. For 2006 the allowed deduction, as I've learned and believe to have been increased 5% from 2005, is 75%. Multiply $17,750 by 75%, which equals $13,313 rounded-up, which is the allowed amount to be deducted from your gross W-2 income. Using the per diem deduction can put you into a lower tax bracket and therefore decrease your tax liability, as I understand it.

Note: The above described information is not to be used for your personal income tax. I'm not a CPA; I'm an informed OTR driver. The example given is only to inform persons reading my post. The tax code is very complicated and the above explanation is only to describe a layman's basic understanding.

Anyone reading my post if I have anything incorrect please post your response.

 

I just finished talking with the firm that will be doing my 2006 taxes. I was told the 2006 per diem rate is $52 and the percentage of total meals is 75%.

 

Same here! We claim all the above and anything else related to the job.

 

The only thing you have to watch out for as far as I know is if youre out half a day or you came back in the middle of a day youre not supposed to count those days toward the per diem. That is my understanding.