Per Diem question for a company driver

Discussion in 'Trucker Taxes and Truck Financing' started by Getsinyourblood, Dec 17, 2015.

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  1. Dec 17, 2015 #1
    Getsinyourblood

    Getsinyourblood Road Train Member

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    First, let me apologize for posting another Per Diem question. There are hundreds of these questions in the forum already. My excuse is that I was a "home every day" driver for many years, and not eligible for Per Diem Allowance. This year, I am laying over 3 times a week and I am eligible.

    Ok, let me say that the company I work for pays no per diem, just straight cents per mile wages.

    I do not itemize, because I am no position to itemize.

    I want to use ball park figures for an example.

    Lets just say I am out 150 days a year. (80% of $59 for 100 days for full days and 75% of $59 for partial days for 50 days)

    Per Diem allowance equals $6932.50.

    Ok, lets say gross wages are $50,000.

    On the tax return:
    $50,000 minus $6200 (standard deduction) minus $6932 (Per Diem Allowance) equals $36,868 Adjusted Gross Income.

    So I will pay taxes on $36,868 and that is how you get the tax brake for Per Diem? Is this correct in ball park terms?

    Question 2. I can buy Turbo Tax Deluxe for $35. Is this good software for a company driver like myself?

    Thanks a lot for your help. I am not looking for specific tax advice, but a general answer to a Per Diem question.
     
    Getsinyourblood, Dec 17, 2015
    Getsinyourblood, Dec 17, 2015
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  3. Dec 17, 2015 #2
    supersnackbar

    supersnackbar Road Train Member

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    I think you can only take the meal allowance(per diem) if you itemize. If you don't exceed the threshold needed to itemize (something like $9000 in deductions for a married filing jointly) then taking the meal allowance wouldn't help since the standard deduction exceeds it.

    As far as Turbotax, I use the premium edition, which is the middle priced selection, but it's the lowest priced package that lets you itemize the meal allowance...as for the other version, I am not sure what it allows.
     
    supersnackbar, Dec 17, 2015
    supersnackbar, Dec 17, 2015
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  4. Dec 17, 2015 #3
    Getsinyourblood

    Getsinyourblood Road Train Member

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    Thanks supersnackbar.
    You just blew a hole in my bubble, though. I thought you could take per diem allowance without itemizing.
     
    Last edited: Dec 17, 2015
    Getsinyourblood, Dec 17, 2015
    Getsinyourblood, Dec 17, 2015
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  5. Dec 17, 2015 #4
    tompetty69

    tompetty69 Light Load Member

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    Supersnackbar was right on. The per diem is one of your itemized deductions. But maybe you can gather up a few more deductions and exceed the standard deduction.
     
    tompetty69, Dec 17, 2015
    tompetty69, Dec 17, 2015
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  7. Dec 17, 2015 #5
    Junkyarddog5958

    Junkyarddog5958 Light Load Member

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    Per diem is separate deduction. There is no minimum or maximum as long as can prove days out (logs). That's way I was taught by trucking accountant.
     
    Junkyarddog5958, Dec 17, 2015
    Junkyarddog5958, Dec 17, 2015
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  8. Dec 18, 2015 #6
    tompetty69

    tompetty69 Light Load Member

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    That is for a company driver who does not do the Schedule C.
     
    tompetty69, Dec 18, 2015
    tompetty69, Dec 18, 2015
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  9. Dec 19, 2015 #7
    double yellow

    double yellow Road Train Member

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    $6900 > $6200 so you might as well itemize. Surely you also bought pens, boots, cb stuff, etc
     
    double yellow, Dec 19, 2015
    double yellow, Dec 19, 2015
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  10. Dec 20, 2015 #8
    mtoo

    mtoo Road Train Member

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    Owner Operator schedule C. Company driver must itemize to take advantage of M&IE. So it must exceed the standard deduction
     
    mtoo, Dec 20, 2015
    mtoo, Dec 20, 2015
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  11. Dec 20, 2015 #9
    stevez57305

    stevez57305 Medium Load Member

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    I have a similar question. I am a comp. Dri. I am itemizing. Do i need logs if i have all my reciepts scanned and deductible expences marked?
     
    stevez57305, Dec 20, 2015
    stevez57305, Dec 20, 2015
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  12. Dec 20, 2015 #10
    rabbiporkchop

    rabbiporkchop Road Train Member

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    You
    You will need logs if you get audited in the future. You won't need to submit them but you should keep them in a safe place.
     
    rabbiporkchop, Dec 20, 2015
    rabbiporkchop, Dec 20, 2015
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