Min commute distance for per diem in California?

[rooobosmith]

YOU ARE NOT OWED reimbursement for commuting expenses! If they choose to reimburse you for it they may, but the law does not require that they do so, even in CA. How are you thinking it's ever going to be non-taxable?

Temporary housing is not technically commuting expense.

 

[ecmst12]

But it wouldn't be tax deductible either.

 

[rooobosmith]

But it wouldn't be tax deductible either.

It would be if it were for required business travel, no?

Is there some min distance the travel has to be from the office or home to be considered to be business travel?

 

[swalsh411]

It would be if it were for required business travel, no?

Is there some min distance the travel has to be from the office or home to be considered to be business travel?

No. Under certain very strict conditions, one of them being on premises controlled by the employer, the value of housing provided can be excluded from income. An example would be a farmer who has housing for migrant laborers on his farm.

Temporary housing is not excludable from income.

Read IRS publication 15-B. It should clear this up for you.

 

[LdiJ]

Supposing the employer chooses to reimburse "relocation" temporary or full time for work locations greater than a number miles from a residence.

Could that be excluded from income for tax purposes? It's not technically commuting expenses, but would be in lieu of commuting.

When an employee is on a temporary assignment away from their home, and still maintains their permanent home its possible for an employer to provide temporary housing at the assignment location, and have it be excluded from tax. However the assignment must be known to be temporary, it must be for a period of less than one year, and again, the employee has to be maintaining a permanent home in their original location.

An employer can also reimburse relocation expenses, under certain set parameters, and have those be excluded from income, but in that case it must be a true relocation.

 

[LdiJ]

No. Under certain very strict conditions, one of them being on premises controlled by the employer, the value of housing provided can be excluded from income. An example would be a farmer who has housing for migrant laborers on his farm.

Temporary housing is not excludable from income.

Read IRS publication 15-B. It should clear this up for you.

See my response before this one Swalsh. You are not wrong about what you posted, but it covers different circumstances.

 

[rooobosmith]

No. Under certain very strict conditions, one of them being on premises controlled by the employer, the value of housing provided can be excluded from income. An example would be a farmer who has housing for migrant laborers on his farm.

Temporary housing is not excludable from income.

Read IRS publication 15-B. It should clear this up for you.

Pretty sure that if my employer sends me on a business trip, they deduct the cost of my hotel as a business expense. I know that expense is never declared as my income.

I just don't know how far away from the office that travel has to be, to be considered business travel.

 

[cbg]

Tell you what.

Since you don't like the answers you're getting here, why don't you go ask your tax advisor.

 

[LdiJ]

Pretty sure that if my employer sends me on a business trip, they deduct the cost of my hotel as a business expense. I know that expense is never declared as my income.

I just don't know how far away from the office that travel has to be, to be considered business travel.

It basically has to be far enough that its impractical to return home for the night. For example, if its 50 miles on a straight shot down the interest with a 70 mph speed limit and takes 40-45 minutes, you would probably be expected to return home. If its 50 miles of stop and go traffic that's going to take you 2 1/2 hours, or back country roads where it might take you an hour and a half, it could be considered more practical to stay.

 

[rooobosmith]

It basically has to be far enough that its impractical to return home for the night. For example, if its 50 miles on a straight shot down the interest with a 70 mph speed limit and takes 40-45 minutes, you would probably be expected to return home. If its 50 miles of stop and go traffic that's going to take you 2 1/2 hours, or back country roads where it might take you an hour and a half, it could be considered more practical to stay.

Thanks for your interpretation.

In that case, a fixed mileage of 125 miles would not be valid, as 75 miles on So Cal freeways could easily be a much more time consuming trip.

 

[davew128]

What makes you think that I think it "must be paid"?

The question is not whether it "must be paid," but rather how commuting expenses are treated for tax purposes.

As non-deductible expenses.

 

[LdiJ]

Thanks for your interpretation.

In that case, a fixed mileage of 125 miles would not be valid, as 75 miles on So Cal freeways could easily be a much more time consuming trip.

I was only giving you potential examples. Its up to the company to decide if and when they reimburse for mileage or pay temporary housing costs...and its up to the tax code whether or not those costs are deductible.

 

[davew128]

I do see references to lawmakers getting per diem for travel of 125 miles to the capitol; at least in some states.

Those are specific laws pertaining to legislators who incur the cost of travelling to the state capitol to legislate and vote when their home and district is a significant travel distance away. Think Chula Vista - Sacramento....

Regardless of your opinion of any legislator, it is inherently unfair for them to incur without tax free reimbursement the cost of performing their elected duties.

 

[davew128]

But it wouldn't be tax deductible either.

Out of town travel (74 miles doesn't qualify) on a short term work assignment IS deductible.

 

[davew128]

In that case, a fixed mileage of 125 miles would not be valid, as 75 miles on So Cal freeways could easily be a much more time consuming trip.

Or not time consuming at all depending on time of day. If it takes me 3 1/2 hours to get to Staples Center to see the Celtics beat the Lakers in the finals coming from SD, I can guarantee you that 110 mile trip will be about 90 minutes at night when the game is over.