Federal Per Diem Deduction: Who Qualifies and What You Get
Learn how professional drivers can claim tax deductions for meal and incidental expenses while traveling for work.
This scheme allows certain workers to claim a tax deduction for the money spent on meals and incidental expenses while traveling for business.
Who it's for
This is for drivers who are required to be away from their home overnight for work purposes.
What you get
You can receive a tax deduction to help cover the cost of your meals and other incidental expenses incurred during your work travel.
What it costs you
To use this, you must maintain detailed logs that record your specific travel dates and the locations where you traveled.
The catch to know
You cannot deduct the full amount provided by the federal rate; you are only permitted to deduct 80% of the federal per diem rate.
How to apply
- Keep a precise log of all business travel dates and locations.
- Track your meal and incidental expenses according to the rules.
- Consult the official portal to check the current rates for your travel areas.
- Include these details when you file your taxes.