Get Started

Flight Crew Tax Blog

image_pdfimage_print

Per Diem Rates for 2014-2015

By Watson CPA Group (Google+) Posted September 24, 2014   The IRS has announced the per diem rates for 2014 and 2015. As you might recall, the government’s fiscal year starts October 1, so that is why we have rates for 2014 and 2015. Per diem rates are figures taxpayers can use for substantiating the…

Are Free Airplane Tickets and Frequent Flyer Miles Taxable

By Jason Watson (Google+) Posted September 22, 2014   Is anything in this life truly free? Well, at least we now know that free airline tickets and frequent flyer miles are not truly free. Got it. But, are frequent flyer miles taxable? Here are some points to consider.   If you receive reward miles or…

IRS Updates Per Diem Rates for 2013 and 2014

By Jason Watson (Google+)   Earlier this week the IRS issued its annual update of per diem rates for taxpayers who travel away from home in fiscal year 2014 (Notice 2013-65). Of course the government can’t make it simple, fiscal year 2014 actually starts October 1 of 2013. As you might be aware, per diem…

Federal Government Freezes Travel Reimbursements for 2013

By Jason Watson (Google+)   Recently the U.S. Government Services Administration (GSA) announces that per diem rates and allowances will remain at 2012 levels. This is the first year in over a decade that the rates have not been increased.   Being reimbursed for travel expenses through per diem allowances alleviates a lot of the…

Famous Bissonnett Case Added to Tax Court Rulings Page

By Jason Watson (Google+)   We just added the famous Bissonnett case to our Tax Court Rulings page for flight crew, pilots and flight attendants. The question comes up quite often about deducting per diem for day trips, locals, turns, etc. And the short answer is that you need substantial rest away from home to…

Can I take a per diem deduction for turns, locals or day trips?

By Jason Watson (Google+)   No. For a per diem deduction, an overnight or a substantial rest period must occur. This rest requirement is not satisfied by merely napping in the crew lounge. Your relief from duty must be long enough to get necessary sleep or rest.   The Tax Court has developed the Sleep…

Tax Court Reminds an Employee That Commuting Expenses Are Not Deductible

By Jason Watson (Google+)   A taxpayer worked three jobs and attempted to deduct the Federal per diem allowance and mileage for the days he was away from home. Generally a person’s tax home is determined by the regular or main location of the taxpayer’s place of business.   According to court documents, the IRS…

Watson CPA Group Developes Free Per Diem Calculator, A Market First

By Jason Watson (Google+)   The Watson CPA Group is wrapping up the development of a free online per diem calculator for pilots, flight attendants and business travelers alike to determine their per diem allowance.   According to the IRS, taxpayers are afforded a per diem allowance for each day they spend away from home…

Updated Pilot and Flight Attendant Expenses

By Jason Watson (Google+)   The Watson CPA Group has updated several webpages of our pilot and flight attendant clients.   A new page titled Tax Court Rulings has been created to illustrate several court cases that have shaped pilot and flight attendant tax deductions. Shoes, make-up, pantyhose, nails, commuting expenses, type rating deductions and…

B737 Type Rating: Wanna Deduct It?

Can I deduct my B737 type rating costs?  Or my ATP rating?   Yes, but you need to position yourself very very carefully when you deduct this expense.   Publication 529 from the IRS deals with miscellaneous expenses and specifically work-related education.  Here’s the play by play- “You can deduct expenses you have for education,…