Perplexed by forced per diem option?

Ok... ok... What am I missing here? Company deducts my taxes before I get my paycheck. How do I get less taxes taken out of my paycheck?

 

When you were hired you filled out a W-4 form and on that form you can claim 0 or 1. O they will take out more per week. 1 They will take out less. There's more to it than that but that's the jist of it.

 

Thank you Dna Mach. If I remember right, I chose 1. But will check it again.

 

I had a job that paid squat years ago. I filed 6 deductions, single for 2 months to get no Fed taken out. I needed the $ at the time $6 an hour........

 

I used to have a CPA accountant in GA but then I don't go there any more and don't want to do business long distance. Does anybody know how one can do to find a CPA with experience in this industry who lives in the same city where they are?

 

I use a tax preparer I have known for 30+ years. He's an O/O with Landstar. He is a registered IRS preparer.

 

My cousin drives for a company. He crosses a state line daily, but he returns each night. The company offers him per diem for meals, but he has opted out so he can use the deduction.

Some of what I have read indicates he is not eligible for the deduction because he returns home. However, there seems also to be a 100 mile rule that would make him eligible for it. Also, if he is not eligible for per diem deduction, it makes little sense for the company to offer per diem reimbursement.

Obviously, he is not eligible for the $100 motel per diem. Is he eligible for the 80% of $59 meal per diem?

 

No. He cannot claim per diem unless he remains away from his tax home for a required rest break. If he is paid anything that is classified as per diem that is not included in taxable income, he'll have to add that to his taxible gross and pay tax on it.

 

Thank you, ironpony. It isn't the answer I wanted for him, but it was the answer I expected after reading some more.

 

Straight from the IRS

Per diem has nothing to do with where you travel. It's a matter of staying away from home with a rest period. Now someone that travels and returns can claim mileage and expenses. But that is on the company end and not the driver.

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

The company is offering money so they can dodge taxes. They have to match social security, 401K, pay workers comp based on a drivers wages. Claim some of the money as per diem lowers their cost. Always opt out of perdiem. You get it tax time anyways.