Edward D. Clark - Page 13

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          Rev. Proc. 2001-47, sec. 1, 2001-2 C.B. at 332, is almost                   
          identical to the passage quoted above, but the following sentence           
          is omitted:                                                                 
               This revenue procedure also provides an optional method                
               for use in computing the deductible costs of incidental                
               expenses paid or incurred while traveling away from                    
               home by employees and self-employed individuals who do                 
               not pay or incur meal costs and who are not reimbursed                 
               for the incidental expenses.                                           
               Rev. Proc. 2002-63, sec. 4.05, 2002-2 C.B. at 694; Rev.                
          Proc. 2003-80, sec. 4.05, 2003-2 C.B. at 1040; and Rev. Proc.               
          2004-60, sec. 4.05, 2004-2 C.B. at 685, expressly provide that              
          taxpayers who do not pay or incur meal expenses when traveling              
          away from home may use, in lieu of providing actual receipts to             
          substantiate incidental expenses, an established per diem rate of           
          $2 or $3, depending on which revenue procedure is applicable for            
          the date of travel.  Rev. Proc. 2001-47, sec. 4, 2001-2 C.B. at             
          333-334, which provides specific rules for the per diem                     
          substantiation method, does not contain a similar provision.                
          However, we have held previously that the incidental portion of             
          the per diem rates for meals and incidental expenses (M&IE) may             
          be used as deemed substantiation of incidental expenses when                
          meals are provided by a taxpayer’s employer.  Johnson v.                    
          Commissioner, 115 T.C. 210, 210-211 (2000).  The applicable                 
          revenue procedures provide that the Federal M&IE rate will be               
          applied, with stated exceptions, in the same manner as applied              
          under the Federal Travel Regulations, 41 C.F.R. secs. 301-311, in           

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