- 28 - report lump sum amount to which each driver-employee was entitled a percentage (per diem percentage). In most cases, the per diem percentage was 34 percent; in some cases, the per diem percentage ranged from zero to 33 percent. Beginning in late calendar year 1993, TLC requested that for each payroll period each trucking company client provide it on a “Leased Driver Worksheet” certain information that the Internal Revenue Service (IRS) required in order to substantiate each driver-employee’s per diem amounts.21 The requested information for each payroll period included, inter alia, the number of days such driver-employee traveled away from home. Some of TLC’s trucking company clients did not provide TLC with the information that TLC requested.22 Upon receipt of a batch report, TLC inputted the information contained in that batch report into its computer system and, based on that information and other information in its computer system (e.g., the per diem percentage, applicable employment tax rates, Federal and State income tax withholding), computed with 21As discussed above, TLC’s promotional materials repre- sented to each trucking company client that TLC was responsible for substantiating the per diem amounts that TLC paid to a driver-employee and for ensuring the appropriateness of such per diem amounts for Federal income tax purposes. 22When a trucking company client did not provide TLC with the information that it requested, TLC used the number of days that each driver-employee was away from home that was shown in the batch report in order to substantiate any per diem amounts that TLC determined and paid to such driver-employee.Page: Previous 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 Next
Last modified: May 25, 2011