Taxes and Per Diem

[79%N1]

Does anybody know the correct answer...

When computing per diem for taxes, if you are using the allowable per diem amount city by city as allowed by the IRS, can you only claim that amount above what you were paid by your company if you ACTUALLY SPENT that amount? Another words, if IRS says you get $50 per day for a DEN overnight, and at your per diem rate you only made $35, then you can claim only the portion you SPENT over the $35 on you taxes......or can you just automatically claim the $15???? I have heard it both ways, but I dont want to take the time to figure it all out unless you can claim that amount whether you spent it or not, since I rarely spend more than the per diem amount I make.

If anybody has some 411, I appreciate it.

 

[FarginDooshbahg]

Any "411"? I didn't know teenagers that haven't even finished HS and play pilot between classes had to even file a return.

 

[RUhiring?]

This one works in your favor

Take the whole amount allowed by the IRS. $50 in this case. You do not need to keep receipts to prove you spent the entire $50. This is the whole reason for the publication of the allowed expense amount. If you spend $75 in this situation, then you would need the receipts for the amount over $50 ($25).

At least, this is the way my accountant does it.

http://www.romerlaw.com

 

[180ToTheMarker]

IRS pub 463 has all the info you need.

 

[DoinTime]

Does anybody know the correct answer...

When computing per diem for taxes, if you are using the allowable per diem amount city by city as allowed by the IRS, can you only claim that amount above what you were paid by your company if you ACTUALLY SPENT that amount? Another words, if IRS says you get $50 per day for a DEN overnight, and at your per diem rate you only made $35, then you can claim only the portion you SPENT over the $35 on you taxes......or can you just automatically claim the $15???? I have heard it both ways, but I dont want to take the time to figure it all out unless you can claim that amount whether you spent it or not, since I rarely spend more than the per diem amount I make.

If anybody has some 411, I appreciate it.

You can claim the full amount whether you spent it or not. You only get to keep 70% the $15, however. Form 2106 will lead you to all of the appropriate formulas.

 

[AV8700]

Does anybody know the correct answer...

When computing per diem for taxes, if you are using the allowable per diem amount city by city as allowed by the IRS, can you only claim that amount above what you were paid by your company if you ACTUALLY SPENT that amount? Another words, if IRS says you get $50 per day for a DEN overnight, and at your per diem rate you only made $35, then you can claim only the portion you SPENT over the $35 on you taxes......or can you just automatically claim the $15???? I have heard it both ways, but I dont want to take the time to figure it all out unless you can claim that amount whether you spent it or not, since I rarely spend more than the per diem amount I make.

If anybody has some 411, I appreciate it.

You can also claim a portion of day two. Its a great tax savings if you fly naps (highspeeds, cdo's).