Should transportation industry meal expenses affect my return?

bwmill2 · ‎June 4, 2019

When I added this expense it had no effect on my amount due. It seems like it is not being calculated.

DanielV01 · ‎June 4, 2019

It depends, but it is likely that you will not get this deduction this year. The Tax Cuts and Jobs Act made a number of significant changes in the tax law. One big change that affects Transportation Industry workers is that the "per diem" deduction is suspended (not available on the Federal Return) until 2025 for those who work as employees. Some states are still allowing the deduction, which is why it is a part of the interview process still.

Owner-operators and Contractors are still allowed the deduction against self-employment income. But these deductions are not calculating on Schedule A.

Because of this change, it might be worthwhile to speak with your employer about establishing an accountable plan. Through an accountable plan, you can submit expenses such as these for tax-free reimbursement, and the company is still allowed to take a deduction for these reimbursements on it's tax return. But if you are an employee, these deductions are no longer available for Schedule A.

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DanielV01 · ‎June 4, 2019

It depends, but it is likely that you will not get this deduction this year. The Tax Cuts and Jobs Act made a number of significant changes in the tax law. One big change that affects Transportation Industry workers is that the "per diem" deduction is suspended (not available on the Federal Return) until 2025 for those who work as employees. Some states are still allowing the deduction, which is why it is a part of the interview process still.

Owner-operators and Contractors are still allowed the deduction against self-employment income. But these deductions are not calculating on Schedule A.

Because of this change, it might be worthwhile to speak with your employer about establishing an accountable plan. Through an accountable plan, you can submit expenses such as these for tax-free reimbursement, and the company is still allowed to take a deduction for these reimbursements on it's tax return. But if you are an employee, these deductions are no longer available for Schedule A.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

Should transportation industry meal expenses affect my return?