Per Diem paid by company less than daily rate. Itemize difference?

Meals you do not have to itemize. They do have a list of per state and they vary, but the IRS came up with a flat rate. You are authorized that amount if you take it and use it or not.

Yes it is $63 a day, but in the Pub, you are only authorized 80% of that for full days.

I have been audited by the IRS and the numbers did not have an issue. I claimed about 300 days out.

If you are using $63 for full days, then you are taking 20% too much.

Turbo Tax figures it the same... partial days x 75% = # of full days, then add to full days, then multiply by $63 then take 80% of that.

Read the pub...

 

https://www.irs.gov/pub/irs-pdf/p463.pdf
Page 6 is the one the OP needs to look at. What page mentions 80% of $63?

 

see post 8,, the pages and excerpts are there..

 

Wrong wrong wrong.. you only are allow 80% of the daily meal allowance... Your source might want to read Pub 463 and also look how they actually calculate it.

Page 12. left side, paragraph 5, 2nd paragraph, 7th sentence down....

geez, this is not difficult...

page 6 and 12 cover transportation workers..

The IRS put out this pub... Your source does not work for the IRS.. the Pub 463 spells it out... if you claim all of $63 per day and get audited, then you will owe owe owe...

 

Chapter 1 pg 5 column 1 ... 50% if you are using the per diem rate with a reference to chapter 2, where HOS workers can deduct 80%.

The $63 is the limit you can deduct when you can produce the receipts to support it. You can never deduct more. Even if you had the receipts you could not deduct the entire cost of that steak dinner.

Without receipts, you are limited to 80% of the $63.

 

I finally got it. It's a good thing I was using TurboTax instead of doing this by hand otherwise I'd be screwed. I don't the IRS could make this any more complicated if they tried.