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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. Use of a method described in this
revenue procedure is not mandatory, and a taxpayer may
use actual allowable expenses if the taxpayer maintains
adequate records or other sufficient evidence for
proper substantiation. * * *
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, expressly
provides 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 rate of $2 per day. 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).
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Last modified: March 27, 2008