Per Diem is Great...

Thanks. Right now my taxes are already fairly complicated and I need to be able to trust someone to do it for me. Of course, I'll only have to worry about it if I actually have any trucking income before the end of the year.

 

http://www.irs.gov/pub/irs-pdf/p463.pdf (page six on the pdf file)

Allows for $52 a day Special rate for transportation workers.

How many of you drivers are taking advantage of it?

 

When it comes to my money, I have a large appetite. I don't leave ANY scraps for the IRS.

I take that money Makes for a nice refund most times.

 

It would not be smart to just dismiss this huge deduction from your tax return.... You add up the days your away and you will soon realize your not talking chump change here but some real $$ cash $$!

BUT, just a FYI.. You can't take this deduction if you LIVE in your truck! You must have a home address that you use & claim as your residence..

 

Anyone who does not is crazy!!

 

Anyone that lets the carrier deduct it is crazy . They will always underpay and while you could claim the rest it will be under the standard deduction so you'll lose it if you don't have enough other deductions to itemize . Per diem will be enough to itemize . Then you can add other items like tools , cleaning supplies , etc. that wouldn't have totaled enough to make itemizing higher than the standard deduction .

 

You touched on it briefly: income.

Our Social Security check is based on our taxable income during our employed years. If your taxable income is decreased, you do save on taxes in the short term. However, you are screwed long term!!

Every time you get paid with Per Deim (as part of your regular pay), your Social Security check does down a few pennies in the future!!

DO NOT ACCEPT PER DEIM UNLESS YOU ARE TERMINALLY ILL!!!

 

For those of you that are using the special rate for transportation workers, are you keeping your receipts or merely just keeping your log books to prove where and when you were?

If I read the publications correctly individual receipts are not required.

 

Receipts are not required. Log books are one method of satisfying the supporting documentation.

 

Thanks. That was my interpretaion of the publications.