Hi Again OLDPROF,
>The diem is $ 41.00 per day in the US and $46.00 per day in
>Canada or Mexico. and is figured at 70% of the total
Frank.
You asked:
Would you explain more about the 70%. If I understand, the $41.00 per diem is a deduction that is taken when you are on the road. It has nothing to do with food, showers, and other expenses. Am I right? Thanks.
So far you are correct in stating that one has nothing to do with the other except for food.
The exact way the perDiem works is this.
Your on the Road and out for lets say 310 days logged, or some proof of being out 300 X"s $41.00 and whatever days you spent in Canada, lets say 10 days added to the amount would be $12,760 would be multiplied x 70% would give you your actual deduction of $ 8,932.00
your. So $8,932 would be entered in the meals & entertainment line stating SUBJECT to DOT Regulations typed in or if computer generated you should do a ???? in the box line. and state how many in US and in Canada.
You cannot take food as a deduction at all, it is part of the per diem
however you can take the mileage, showers, laundry, and other misc dedutions that are allowable.
Frank