Help me

[Max Powers]

ok who knows the Standard Conus per diem dedutions we can take and can you post a link.

 

[viper548]

$52/day

 

[Max Powers]

danke shane

 

[regionalcap]

google works great

http://www.gsa.gov/Portal/gsa/ep/contentView.do?contentId=17943&contentType=GSA_BASIC

 

[STL717]

These 2 IRS pubs cover your questions.


http://www.irs.gov/pub/irs-pdf/p463.pdf
Pub. 463
see page 6.
Special rate for transportation workers

http://www.irs.gov/pub/irs-pdf/p1542.pdf
Pub 1542 Per Diem rates

 

[another cfii]

Thanks for the link...

I'm wondering if that's something I can learn to do. Let's say, a 2 day trip, with an overnight in BOS, with TAFB 29:00 hrs. paid @ $1.75/hr. How do you calculate the net amount that I can claim on my tax return?

I was told there's the standard way, and then there's the way where you look up the table, is that correct? If somebody who has done it, please post some sample, that'd be great!

 

[STL717]

I use the service provided here
http://pro-diem.com/main.htm

By entering the date, start city, start time, end city, end time, if end of trip TAFB and YES, for each day you fly. For a $50 fee they will figure the total per diem you can claim on your tax return.

 

[NCFlyer]

Thanks for the link...

I'm wondering if that's something I can learn to do. Let's say, a 2 day trip, with an overnight in BOS, with TAFB 29:00 hrs. paid @ $1.75/hr. How do you calculate the net amount that I can claim on my tax return?

I was told there's the standard way, and then there's the way where you look up the table, is that correct? If somebody who has done it, please post some sample, that'd be great!

If you mean the "standard way" is $52/day. All you have to do is calculate all the nights you were away from home for business travel (not commuting). You do have to pro rate the day of departure & the day of return, the IRS doesn't give you a full day's meal allowance on those days. You can use any method you choose to pro rate the 1st & last day of the trip, I use 75% on those days. I also keep a running total throughout the year, so I don't have to sit down and figure it out when I want to do my taxes.

That should give you a total M&IE allowance calculation for the year. You then must subtract any per diem that you were paid by your company. That is the figure that you will use on form 2106 for travel expenses. I think that for tax year 2007 you are then allowed to deduct 75% of the allowance that exceeds 2% of your AGI.

The "table" method that you refer to, may be where you have to look up each city that you overnighted in IRS pub 1542 to see what the IRS M&IE allowance is for that city. If the city isn't listed there is still a standard allowance. I think this would be way to much work. However if you spent most of your overnights in high cost cities you would have a larger deduction.

In your BOS example:

IRS allows $64/day
Pro rate the day of departure & day of return at 75% = $48/day
Total allowance for 2 day trip $96
Company reimbursement $50.75 (29.0 x $1.75)
Travel expense deduction $96 - $50.75 = $45.25 for 2 day trip.

Using the travel industry standard of $52/day would look like this:

$52/day
Pro rate the 1st & last day at 75% = $39/day
Total allowance $78
Company reimbursement $50.75
Travel expense deduction $78 - $50.75 = $27.25 for the 2 day trip.

 

[SkiFishFly]

My thoughts

A lot of hours/time spent calculating a very small deduction.
I used the FLICA folks last year (they gave a one time freebie). Their numbers came out to something around 500.00 for the whole year (allowed minus what the co paid).
Remember you have to get past the 2% agi. For me that 2% was 1800.00 last year. Once you get past the 2% you are only getting back/saving the percentage of your tax bracket.
Lets say you keep your records and put all this in a spreadsheet and figure it out. You exceed the 2% agi by 100 bucks. You are in a 15% tax bracket. Congrats - you just saved a whopping 15 bucks for all those hours of work...

I won't even go into the increased likelihood of an audit - better have really good records...

 

[NCFlyer]

A lot of hours/time spent calculating a very small deduction.
I used the FLICA folks last year (they gave a one time freebie). Their numbers came out to something around 500.00 for the whole year (allowed minus what the co paid).
Remember you have to get past the 2% agi. For me that 2% was 1800.00 last year. Once you get past the 2% you are only getting back/saving the percentage of your tax bracket.
Lets say you keep your records and put all this in a spreadsheet and figure it out. You exceed the 2% agi by 100 bucks. You are in a 15% tax bracket. Congrats - you just saved a whopping 15 bucks for all those hours of work...

I won't even go into the increased likelihood of an audit - better have really good records...

Not much time at all. I keep a running total all year long so it takes maybe 15 minutes to come up with the total at the end of the year. Unless you were going to calculate every overnight separately I have no idea why anyone would pay someone else to do the math.

As for the deduction, taking only the standard $52/day I had over $2200 after subtracting the 2% AGI. Well worth the 15 minutes of work.

I have no idea what that does to your audit chances but having the records is no problem. All you have to do is show that you were away on business overnight.

 

[regionalcap]

A lot of hours/time spent calculating a very small deduction.
I used the FLICA folks last year (they gave a one time freebie). Their numbers came out to something around 500.00 for the whole year (allowed minus what the co paid).
Remember you have to get past the 2% agi. For me that 2% was 1800.00 last year. Once you get past the 2% you are only getting back/saving the percentage of your tax bracket.
Lets say you keep your records and put all this in a spreadsheet and figure it out. You exceed the 2% agi by 100 bucks. You are in a 15% tax bracket. Congrats - you just saved a whopping 15 bucks for all those hours of work...

I won't even go into the increased likelihood of an audit - better have really good records...

Something doesn't sound right about your post. It is usually a pretty good deduction. My per diem expense deduction is usually about 2000. I let a pilot tax service handle mine so I don't know all the details. Isn't it usually included with your other employee expenses therefore putting you well about the 2%?

 

[another cfii]

Thanks for the great posts... 2 questions:

Quote - I think that for tax year 2007 you are then allowed to deduct 75% of the allowance that exceeds 2% of your AGI. - End Quote

1: So assuming my AGI's 2% in 2007 is $1000, how much am i able to deduct? I'm just not too clear about that part.

2: What kind of record is acceptable? How about my mini-logbook, or does it has to be a printout from crewtrac??

Thanks again

 

[NCFlyer]

Thanks for the great posts... 2 questions:

Quote - I think that for tax year 2007 you are then allowed to deduct 75% of the allowance that exceeds 2% of your AGI. - End Quote

1: So assuming my AGI's 2% in 2007 is $1000, how much am I able to deduct? I'm just not too clear about that part.

2: What kind of record is acceptable? How about my mini-logbook, or does it has to be a printout from crewtrac??

Thanks again

Don't get stuck on the 2% AGI thing. When you complete form 2106 for Employee Business Expense deductions you will have a total amount. When you enter that amount on your 1040 form there will be an adjustment made to only allow the deduction that exceeds the 2% AGI threshold. It really isn't that complicated.

As for an acceptable record, I don't know what would or wouldn't be allowed. I would think any company generated document that shows when you left & returned would be acceptable. Our payroll record shows that information.

 

[8v8ter]

According to the IRS document below (p463), if you read the examples and apply method 2, you could use 3 days of the rate for a 3 day trip and not prorate.

These 2 IRS pubs cover your questions.


http://www.irs.gov/pub/irs-pdf/p463.pdf
Pub. 463
see page 6.
Special rate for transportation workers

http://www.irs.gov/pub/irs-pdf/p1542.pdf
Pub 1542 Per Diem rates

 

[another cfii]

Per diem regarding hi-speed, stand-up

I understand hi-speed, stand-up, is also deductible, is that correct? Because we have a hotel room available to use during the break (on duty), is that correct?

Do I also take 75% from the first day and 75% on the 2nd day as well? So basically a 9pm show-time, with a 5 hour on duty break, with a 8am release time the next morning would give me 1.5 times city pair rate, correct?

I'm trying to do about 4 month's worth of per diem on my own, because my old company didn't have FLICA. I am now looking at how FLICA does it with my current company, and I noticed how they take the 75% on the first day/last day from the city pair rate.
For int'l, for example, YYZ gives a rate of 98 dollars, do I also use the same rules as domestic?

Thanks so much!