2010 Taxes

[Roger Dat]

Anyone here know the daily rates for 2010 for per diem....

 

[GeekMaster]

http://www.irs.gov/pub/irs-pdf/p1542.pdf

 

[bluefly72]

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

Page 6 " Special rate for transportation workers". However this 2009 pub and I'm not sure if it has been updated for 2010...maybe pub mentioned above will give you better rates.

 

[Nevets]

GSA.gov

 

[bluefly72]

http://www.irs.gov/publications/p17/ch26.html

More info on "Special rate for transportation workers"...looks like $59/day or $65 for international.

In my case lot of places per GSA rates are $46-51/day

 

[thor2j]

Doesn't really pay with domestic trips for deductions and international is a per destination rate not a flat rate.

 

[regionalcap]

It is worth it to have one of the pilot tax websites figure it out for you. It more than pays the fee.

 

[asayankee]

It is worth it to have one of the pilot tax websites figure it out for you. It more than pays the fee.

www.ezperdiem.com

Check it out...super easy to use. Does the standard vs actual rate for you figuring out whats best. Also has expense organizer and will fill out the forms for you.

 

[thor2j]

It is worth it to have one of the pilot tax websites figure it out for you. It more than pays the fee.

It takes about 25 minutes to do it yourself and again domestic deductions are non existent unless u make $1 /hr per diem.

 

[regionalcap]

It takes about 25 minutes to do it yourself and again domestic deductions are non existent unless u make $1 /hr per diem.

Not true about being non-existent for domestic pilots. I am a domestic pilot with a $2/hr perdiem. I just looked at an example of one from last year and it was a $1200 dollar deduction. I have always gotten a good deduction even with domestic.

 

[Nevets]

http://www.irs.gov/publications/p17/ch26.html

More info on "Special rate for transportation workers"...looks like $59/day or $65 for international.

In my case lot of places per GSA rates are $46-51/day

You should work it out using both the standard and the actual to see which is better for your situation. For me, the standard rates worked out to be a whole $6 more.

Doesn't really pay with domestic trips for deductions and international is a per destination rate not a flat rate.

Domestic has a standard (or flat) rate or a per destination rate.

again domestic deductions are non existent unless u make $1 /hr per diem.

This is not true.

 

[Freebrd]

which better, turbotax (or something similar) or pay out the ass for a cpa?

 

[SizzleChest]

I've used TurboTax for years and it's been good especially with free filing. I like to tinker so writing a spreadsheet and adding up sales tax receipts and crap isn't that bad. Turn on the TV, get a couple boxes to fill with receipts and have at it. you can even drink four loko and snack on rotisserie chix while you do it!! best day ever!

P.S.- Spend the extra $ on getting the audit defense JIC you get a random selection.... it's like buying the AOPA insurance on your ATP. The peace of mind is great.

 

[thor2j]

You should work it out using both the standard and the actual to see which is better for your situation. For me, the standard rates worked out to be a whole $6 more.



Domestic has a standard (or flat) rate or a per destination rate.



This is not true.

Let's say u do a 3 day domestic and the cities has an M&IE rate of $55. You can take 75% first day, 100%, second , and 75% third day. That's about $140 ish write off. Now your 3 day trip probably has about 48 hrs duty time, and u got $2/hr, that's $96 you got paid per diem. 140-96 is 44. Now you can only take 80% of that as a write off, now you are at $33 write off. So for every 3 day trip u will get back about $8 in your pocket. I guess if do enough of them you could get 200-300 extra a year. Then u need to subtract what u paid to have it done.

 

[Nevets]

Let's say u do a 3 day domestic and the cities has an M&IE rate of $55. You can take 75% first day, 100%, second , and 75% third day. That's about $140 ish write off. Now your 3 day trip probably has about 48 hrs duty time, and u got $2/hr, that's $96 you got paid per diem. 140-96 is 44. Now you can only take 80% of that as a write off, now you are at $33 write off. So for every 3 day trip u will get back about $8 in your pocket. I guess if do enough of them you could get 200-300 extra a year. Then u need to subtract what u paid to have it done.

Yup and if you fly 52 four day trips a year and calculate it for $2/hr perdiem you would get about $500 refund minus the $50 for experdiem, that you can deduct for next year's return.

 

[bluefly72]

You should work it out using both the standard and the actual to see which is better for your situation. For me, the standard rates worked out to be a whole $6 more.



Domestic has a standard (or flat) rate or a per destination rate.



This is not true.

Standard works better in my case, since lot of the cities I overnight in are low GSA rate cities and almost no international.
As an example company paid me ~$4600 on per diem last year and standard IRS rate would have paid me ~$8100; difference of $3500, so whatever it equals to in the end I think it was well worth couple of hours of my time.

 

[Roger Dat]

If anyone here was able to find the standard rates in any of these links, please post them....I'm pretty sure from looking at my last years records the rate changes on Oct. 1st.... So from 1/1/10 to 9/30/10 I think its $58 a day. Not sure about the reast of the year....

I've searched the IRS sites and can't find it....

 

[sweptback]

If anyone here was able to find the standard rates in any of these links, please post them....I'm pretty sure from looking at my last years records the rate changes on Oct. 1st.... So from 1/1/10 to 9/30/10 I think its $58 a day. Not sure about the reast of the year....

I've searched the IRS sites and can't find it....

Did you happen to look at post #5 in this thread?

 

[Roger Dat]

Sure did...So is that $59 the new rate effective 10/1/10

 

[Jar Jar]

It is $59 a day domestic for all of 2010. Verified.

Also, read Pub463 carefully. Page 6 states "You can use a special standard meal allowance if you work in the transportation industry" ... "if this applies to you, you can claim a standard meal allowance of [$59] a day"

Pub463 specifically and deliberately sets transportation workers apart from the 'standard meal allowance'.

Only people using the 'standard meal allowance' not the 'special standard meal allowance' have to prorate based on time of departure/arrival.

Direct Quote:
"For both the day you depart for and the date you return from a business trip, you must prorate the standard meal allowance."

There is a clear distinction between the two.

 

[regionalcap]

It is $59 a day domestic for all of 2010. Verified.

Also, read Pub463 carefully. Page 6 states "You can use a special standard meal allowance if you work in the transportation industry" ... "if this applies to you, you can claim a standard meal allowance of [$59] a day"

Pub463 specifically and deliberately sets transportation workers apart from the 'standard meal allowance'.

Only people using the 'standard meal allowance' not the 'special standard meal allowance' have to prorate based on time of departure/arrival.

Direct Quote:
"For both the day you depart for and the date you return from a business trip, you must prorate the standard meal allowance."

There is a clear distinction between the two.

Every tax company that I have used has always prorated the days.

 

[dooork]

E-Z perdiem prorates as well.

 

[av8tordude23]

.....

 

[generaltso]

I used perdiemcalc.com ... $25, much nicer than ezperdiem in my opinion

 

[great cornholio]

I've used TurboTax for years and it's been good especially with free filing. I like to tinker so writing a spreadsheet and adding up sales tax receipts and crap isn't that bad. Turn on the TV, get a couple boxes to fill with receipts and have at it. you can even drink four loko and snack on rotisserie chix while you do it!! best day ever!

P.S.- Spend the extra $ on getting the audit defense JIC you get a random selection.... it's like buying the AOPA insurance on your ATP. The peace of mind is great.

I agree 100%. There may be some companies where its not worth it, but I get paid crap per diem so it usually adds almost 1000 bucks to my refund. So for me its worth it. I've done both the standard and the city by city rate for two years straight. One year the standard was better and the next year the city by city was better. However in both cases the difference was only about 30 bucks. In reality that was probably only like 5 bucks in my pocket so for me the time it takes to do the city by city isn't worth it. The standard takes about 20 mins to figure out by looking at crew trac.

 

[great cornholio]

You can use more than 3/4 of the first and last day of a trip. Under special transportation workers (IRS pub 463 page 6) there is Method 2. It says that you can use any percentage as long as you use it consistently.

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

 

[av8tordude23]

Why pay for a service every year when you can download an application, try it for free, pay for it once and never pay another dime for the following year thereafter? Only one application does that...PerDiem Traveler.

Visit www.pdtraveler.com to see how much you could save every year without repeatly paying for this service every year.

 

[Lear6T]

Quick question. If you are a renter only (do not own a home), can you still make these deductions?

Reason why I ask is that we are going to lose our home in South Florida either to a short sale or foreclosure. Just wondering if not owning a property would keep me from making my flight crew deductions. Thanks.

 

[trip]

Quick question. If you are a renter only (do not own a home), can you still make these deductions?

Reason why I ask is that we are going to lose our home in South Florida either to a short sale or foreclosure. Just wondering if not owning a property would keep me from making my flight crew deductions. Thanks.

It has nothing to do with it, what determines is whether you itemize on the 1040 long form or just take standard deductions. Most people who itemize do so because they are paying on a house and the mortgage interest for the year will be the big ticket deduction that makes it worth your time to itemize since it will put you over the standard deduction. Once you commit to itemizing you want to use every nickle and dime you can legitimately use as a work related expense, it is to your advantage so this is where figuring out your perdiem is beneficial.

 

[great cornholio]

Quick question. If you are a renter only (do not own a home), can you still make these deductions?

Reason why I ask is that we are going to lose our home in South Florida either to a short sale or foreclosure. Just wondering if not owning a property would keep me from making my flight crew deductions. Thanks.

Before I was a home owner the per diem was my biggest deduction. One good thing about turbotax is that you can itemize and it will tell you which will get you the bigger refund/least payment because it compares both your itemized deductions to the standard deduction. Even before I bought my house the itemized was always the "better" way to go for me. And I don't even go crazy like some people I know.

The other good thing about turbotax is its free until you submit your stuff. So you can do the whole return and see exactly what you will get and if you don't like it just don't submit it and the only thing you're out is a bit of your time.