terry Posted February 23, 2009 Report Share Posted February 23, 2009 Under a non-accountable plan, an employee working out-of-state temporary job. Receives reimbursement $100 per day to be used for lodging & meals. Is an employee allowed to deduct the difference between Per diem allowances for lodging, meals & the reimbursement? Working in a high cost city. Thanks! Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted February 23, 2009 Report Share Posted February 23, 2009 Yes, he's always allowed to deduct actual, as long as he reports the reimbursements on Line 7, if those were not included in box 1 of his W-2. Quote Link to comment Share on other sites More sharing options...
David1980 Posted February 23, 2009 Report Share Posted February 23, 2009 Is an employee allowed to deduct the difference between Per diem allowances for lodging, meals & the reimbursement? "per diem allowances for lodging" = basically never. He can do the M&IE per diem and then add actual expenses for lodging, but cannot use the per diem for the lodging. Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted February 23, 2009 Report Share Posted February 23, 2009 David, I think you mis-read the post. He's asking about deducting the difference, when the actual is larger than the reimbursement. And that he can do. Quote Link to comment Share on other sites More sharing options...
RoyDaleOne Posted February 24, 2009 Report Share Posted February 24, 2009 "Is an employee allowed to deduct the difference between Per diem allowances for lodging, meals & the reimbursement?" Deduct the difference between the "allowance" and "reimbursement"? What I believe the question was, can I deduct the following? Reimbursement is a "$100.00 per day and the amount of the allowable per diem is $125", can the difference of $25 per day be a deduction? This is not allowed. However, as KC states actual if the lodging plus the M&IE rate is in excess of the reimbursement then a deduction is allowed. The substantiation rules for documentation are to be followed Quote Link to comment Share on other sites More sharing options...
terry Posted February 24, 2009 Author Report Share Posted February 24, 2009 "Is an employee allowed to deduct the difference between Per diem allowances for lodging, meals & the reimbursement?" Deduct the difference between the "allowance" and "reimbursement"? What I believe the question was, can I deduct the following? Reimbursement is a "$100.00 per day and the amount of the allowable per diem is $125", can the difference of $25 per day be a deduction? This is not allowed. However, as KC states actual if the lodging plus the M&IE rate is in excess of the reimbursement then a deduction is allowed. The substantiation rules for documentation are to be followed Correct, thats what I was asking. Sorry if I didnt word it correctly the first time. So... He has actual reciepts for lodging, none for meals. I'm able to use actual lodging reciepts plus M&IE rate? Ignore the reimbursement because its a nonaccountable plan with reimbursement already in W-2 wages? Trying to understand Pub. 17. Thanks to everyone! Quote Link to comment Share on other sites More sharing options...
RoyDaleOne Posted February 24, 2009 Report Share Posted February 24, 2009 I'm able to use actual lodging reciepts plus M&IE rate? Yes. Ignore the reimbursement because its a nonaccountable plan with reimbursement already in W-2 wages? Yes. Quote Link to comment Share on other sites More sharing options...
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