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FYI: NEW PER DIEM RATES EFFECTIVE OCT 1, 2015

Fkatz

Veteran Expediter
Charter Member
Offline
IRS Updates Per Diem Rates for Lodging and Meals

WASHINGTON, D.C. (SEPTEMBER 16, 2015)

BY MICHAEL COHN from Accounting Today
Magazine
.

The Internal Revenue Service has set the special per diem rates starting Oct. 1, 2015, which taxpayers can use to substantiate the amount of expenses for lodging, meals, and incidental expenses when traveling away from home.

Notice 2015-63 includes the special transportation industry meal and incidental expenses, or MI&E, rates, the rate for the incidental expenses only deduction, and the rates and list of high-cost localities for purposes of the high-low substantiation method. The rate for any locality of travel inside or outside the continental United States for the incidental expenses only deduction is $5 per day

.The special M&IE rates for taxpayers in the transportation industry are $63 for any locality of travel in the continental United States and $68 for any locality of travel outside the continental United States. (CANADA/MEXICO) These rates are figured at 80% or $ 50.40 per day as a Food reimbursement deduction. it is not a Refund!

For purposes of the high-low substantiation method, the per diem rates in lieu of the rates described in Notice 2014-57 (the per diem substantiation method) are $275 for travel to any high-cost locality and $185 for travel to any other locality within the continental U.S. The amount of the $275 high rate and $185 low rate that is treated as paid for meals for purposes of Section 274(n) is $68 for travel to any high-cost locality and $57 for travel to any other locality within the continental U.S. This paragraph is for other types of business persons is not for the transportation industry.

Frank's Tax & Business Service
315 E. King St
Kings Mountain, NC 28086
704-739-4039
Fax: 704-739-3934
E-mail: [email protected]
Website: frankstaxbusiness.com
 
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Fkatz

Veteran Expediter
Charter Member
Offline
Hi All,

I Wish to thank Team Caffee, Vandrver2 and all the others that sent me alerts of which I cannot name them all for thanking me for this information.

BUT REMEMBER, YOU MULTIPLY THE TOTAL NUMBER OF DAYS THAT YOU ARE OUT!
Lets Say 300 x 63 days would equal;- $ 18,900.00

Times the Maximum Allowance Deduction of 80% of the total would be $ 15,120.00 entered on line 24 Sch. "C" This is your DEDUCTION.

if YOU HAVE ANY QUESTIONS
Do Not hesitate to ask!

Franklin Katz, ATP, PA, PB
Frank’s Tax & Business Service
315 E. King St
Kings Mountain, NC 28086
(704) 739-4039
Fax: (704) 739-3934
E-mail: [email protected]
Website: www.frankstaxbusiness.com
 
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