Taxes what can be claimed

It’s 80% of $63 per full day you are out and 75% of that 80% for each day that you leave home or return home.

Per-Diem Rate for Truckers, Owner-Operator Independent Drivers Association

Leave it to the government to make it as complicated as possible.

 

per diem was created for bureaucrats by bureaucrats.

 

No it will not... A company will never take the full amount a driver is entitled to.

The driver needs to keep track of full days out ($63 x 80%) and partial days out (75% ($63 x 80%),, note In Canada this goes to $68..

Then the driver subtracts what the company takes out from what they would be entitled to.. the difference the driver can still claim.

 

If you use the Sch C then you need to figure out full days

Full + Partial = days out.

If using Turbo Tax, you need to figure out full days and enter full days only...

 

in your opinion it may not be much to keep up with,,, but it is still a deduction the company driver still can take to lower the tax bracket.

 

https://www.irs.gov/pub/irs-pdf/p463.pdf

Note - from Jan 1-Sep 30 and from Oct 1 - Dec 31 can be two different rates.. for 2016 they were one rate. Pub 463 for 2017 is not out yet.

Page 3, 6, and 14.

Suggestions... Keep copies of all your logs for that tax year. If on an ELD - E-Mail them to yourself and save them...

Get with your company and request a letter that is on Company letterhead stating what the company reimburses and what they do not reimburses, ie - meals... (been there and done this for a tax audit,, they requested it)

 

Don’t need receipts for that.. just be able to show logs or paperwork showing days you claimed... fyi

 

$63 x 80 % = $63 x .8 = $50.40

x = multiplier.

 

It's a stupid IRS thing. They figure what they think they should allow, but then they figure you're only entitled to 80% of that since you're probably not going to actually eat out 3 meals a day, 7 days a week.