M&IE

[taxguy057]

Hey quick question to all...

Im confused on which per diem rate to take for the M&IE expense for my client. He and his wife drive for same trucking company. When reading the tax guide it states $59 for transportation workers, but then the transition rules state you cant use the special rate until Jan 2010 if you use M&IE rates during the first nine months of calander year blah,blah.... Can somebody help me make sense of this before I throw my laptop and tax guide out the window!!!!

Thanks!

TG

[Gail in Virginia]

The rate changed on October 1, 2009. For the first 9 months, it was $52 for transportation workers, and for the last three months it was $59. You can't use the $59 rate for the whole year until 2010. For 2009, you have to either use the lower rate or break it down between periods.

[taxguy057]

thx gail! i kinda figured that much, but had to make sure so thats why I call on the pros such as yourself! :)