IRS publication could confuse truckers

| 2/14/2003

Some truckers doing their taxes may be confused by an IRS publication that refers to the per-diem expense allowance.

An OOIDA member recently wrote in about an IRS publication that said the per diem increased as of Oct. 1, 2002, to $40. But, according to Howard Abrams of PBS Tax and Bookkeeping Service, the change that took place Oct. 1 should not apply to the taxes you are doing now.

“They changed the per-diem rate on Oct. 1, but we believe it’s for use the following year,” Abrams said. “It’s also standard practice not to change it during the year unless by special directive.”

Abrams recommends truckers use the $38 figure for the entire tax year, applying the $40 during the next tax year.