Taxing on perdiem?

[gret]

First thing ya gotta do is seek the advice of a tax professional and NOT take the advice from a pilot, especially on FI.com..... I swear if someone had a surgery related question and asked both a doctor and a pilot at the same time, the pilot would think he was right...

Now a pilot who is a tax professional is a different story

You are 100% correct!

 

[Club ORD FO]

Has anyone experienced this with any company.
We were told by the accountants with our company that because we are considered to work in the "transportation" industry and we make more money than standard IRS perdiem rate that we have to pay tax on what ever is paid over the standard rate. Example we get 70 domestic and 105 international, the standard IRS perdiem is 50 domestic and like 65 international so we have to pay tax on the difference between the two. Is this correct????

Anyone have any insite on this???

Wow you make good per diem. Not sure if you were just tossing out numbers, but the domestic standard allowance is $59

All this stuff can be found in Pub 463: http://www.irs.gov/publications/p463/ch01.html#en_US_2011_publink100033800

 

[DUATS]

Wow you make good per diem. Not sure if you were just tossing out numbers, but the domestic standard allowance is $59

All this stuff can be found in Pub 463: http://www.irs.gov/publications/p463/ch01.html#en_US_2011_publink100033800

I had never seen that little paragraph. Thanks for the good gouge.

 

[G3G4]

70 dollars domestic is not bad but our international is on the low end. We spend 80% of our time outside the US and in Europe 105 doesnt go a long way especially in the UK. It all works out in the end but like I said the bummer is being taxed on that money. I think I will start keeping receipts for all my meals and turn them all in next year and see how that works.

 

[ksu_aviator]

Take it to an accountant, along with your log book and duty log. Some of the cities in the US and internationally have higher daily rates. If you are in one of those cities, you won't have to pay taxes because there won't be an excess.

 

[filejw]

Look up Pro Diem. I have used them for yrs, worth the 59$.