- 5 -
Distance Days Paid Rate Per Day
< 50 miles 0 0
51-200 miles 5 (M-F) $80 before 7/1/94
$85 thereafter
> 201 miles 7 $80 before 7/1/94
$85 thereafter
During 1993, petitioner received mileage reimbursements of
$1,570.80 and per diem payments of $27,920 (349 days x $80).
During 1994, petitioner received mileage reimbursements of
$1,430.38, and per diem payments of $23,375 ((170 days x $80) +
(115 days x $85)). Petitioner was required to submit a travel
voucher to DOI, but was not required to submit receipts.
Petitioners’ Federal income tax return for each year in
issue was prepared by a paid income tax return preparer.
Included with each return is a Schedule C, Profit or Loss From
Business. On each Schedule C, petitioner’s business is described
as “Contract State Insurance Auditor”. No income is reported on
either Schedule C; for each year the income paid to him by the
DOI was reported as wages, as evidenced by the issuance of Forms
W-2, Wage and Tax Statement. The travel reimbursements paid to
petitioner during the years in issue are not included in the
income reported on the Forms W-2.
The following deductions are claimed on the Schedules C:
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Last modified: May 25, 2011