Cell Phones Tax Deductible?
Topic 8275 | Page 1
If you are an owner operator or lease driver, then yes you can claim it as a business expense. If you have money taken out of your check for the equipment you use ex: tarps, chains and straps, you can also take an exemption for that because they are tools you use in your livelihood. You can also claim your days away from home provided you still maintain a physical address.
Owner Operator:
An owner-operator is a driver who either owns or leases the truck they are driving. A self-employed driver.
If you are an owner operator or lease driver, then yes you can claim it as a business expense. If you have money taken out of your check for the equipment you use ex: tarps, chains and straps, you can also take an exemption for that because they are tools you use in your livelihood. You can also claim your days away from home provided you still maintain a physical address.
So as a company driver, receiving a 15cpm per diem , maintaining a physical address and using the phone about 90% of the time away from home with the occasional personal use, you think I could still claim it? My biggest concern is the per diem: as I understand it, when you receive per diem, you can't itemize your deductions anymore (i.e. food, incidentals), you just take the per diem as your deduction. Am I wrong on that? Maybe I need to wait to speak with my HR person or something...
Owner Operator:
An owner-operator is a driver who either owns or leases the truck they are driving. A self-employed driver.
CPM:
Cents Per Mile
Drivers are often paid by the mile and it's given in cents per mile, or cpm.
Per Diem:
Getting paid per diem means getting a portion of your salary paid to you without taxes taken out. It's technically classified as a meal and expense reimbursement.
Truck drivers and others who travel for a living get large tax deductions for meal expenses. The Government set up per diem pay as a way to reimburse some of the taxes you pay with each paycheck instead of making you wait until tax filing season.
Getting per diem pay means a driver will get a larger paycheck each week but a smaller tax return at tax time.
We have a ton of information on our wiki page on per diem pay
I would double check with HR. State laws can vary too so it would be easier to find out through them.
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I have a question:
The company I'm going to be working for suggests getting a Verizon phone for international travel into Canada. I currently have an AT&T phone with no international plan (through a family plan with my parents). I have no intention of giving up my current phone or number. I'm thinking of getting a Verizon smartphone with an international plan strictly for use when trucking. The company offers a partial reimbursement for this.
My question is, can I claim my portion of the bill as a tax deduction at the end of the year? If so, could I do it even under the following conditions?
1 - If I occasionally use it to call home from Canada (i.e. personal use)? 2 - If I receive per diem as part of my pay package?
Thanks for any input!
Per Diem:
Getting paid per diem means getting a portion of your salary paid to you without taxes taken out. It's technically classified as a meal and expense reimbursement.
Truck drivers and others who travel for a living get large tax deductions for meal expenses. The Government set up per diem pay as a way to reimburse some of the taxes you pay with each paycheck instead of making you wait until tax filing season.
Getting per diem pay means a driver will get a larger paycheck each week but a smaller tax return at tax time.
We have a ton of information on our wiki page on per diem pay
OWI:
Operating While Intoxicated