Commuting vs temp job

[Jesse]

Tax book says "If a worker gets a work assignment at a union hall and then goes to the work site, the costs of getting from the union hall to the work site is nondeductible commuting".

If he is a Union Member, but has one place of employment that he goes to for instruction is this considered the same?

A similar job would be a non-union highway construction worker or foreman. If he has one place of employment but is traveling to different areas of the state each being < 1 year is this commuting or temporary job? Also in this case, would the lodging be deductible?

[Jesse]

Bump

Any thoughts?

[jainen]

non-deductible

>>If he has one place of employment but is traveling to different areas of the state each being < 1 year is this commuting or temporary job? <<

I have two thoughts, and they both use the idea of "tax home" and they both work against the taxpayer. I'll preface them by asserting that the union hall is not a job site so it does not count in any of this.

If each of the assignments is considered as a regular job site (albeit for a limited time), then for the length of the job it is his tax home and the travel is commute.

If the assignments are considered temporary, then he has NO tax home and travel is still non-deductible.

[sandysea]

Commuting

This is a very debated issue. In order to take mileage on the return, it must be for non commuting. If the client has a temporary work location with an employer "the union" so to speak and it is outside his metropolitan area, then he can claim a deduction for travel and for lodging and meals if he requires this for periods of rest. The metropolitan area is not well defined however...recent revenue ruling in WI was that the entire state of WI can the tp's metropolitan area.

If however, the tp is going to one location to get his/her instructions and that is considered his employment location, then the mileage from the employer location to the job site should be deductible....bring on the comments!! As I said, this is a hotly debated topic and no clear answers are available...case by case basis I think

[BOB W]

Without research,......

...... a temporary work assignment must envolve overnight stay and must be less than one year. All mileage becomes deductible as well as meals and lodging> etc.

[sandysea]

Sorry Bob; I was referring more to unreimbursed employee business expenses as it relates to business use of a vehicle...yes you are correct that a "temporary" work assignment needs to be quantified with less than one year and then all expenses are deductible.

I guess I misunderstood the original post...I thought he was saying that he has an employee who is at different job sites for varying amounts of time and wanted to know if he could deduct the mileage...MY BAD...hehe

[BOB W]

Actually.....

..... Sandy, the Heading was not necessarily related to the question, I was just clarifying the "heading" not the discussions posted.

Whenever a t/p has multiple business locations in the same day, the travel from one business location to another is considered business miles for 2106. Defining those business locations was or became the crux of the discussion.

Temporary assignment involves overnight stay even if the job is not far away, within reason.

[sandysea]

As you can see...I am new here

Well...thank you Bob . I just did not want to misinterpret what was asked or answered since I am a newbie here...hehe

[BOB W]

Sandy...

.... Newbee's is what is needed, glad to see you participate. We are all richer because of Newbees.

[Jesse]

Sorry Bob; I was referring more to unreimbursed employee business expenses as it relates to business use of a vehicle...yes you are correct that a "temporary" work assignment needs to be quantified with less than one year and then all expenses are deductible.

I guess I misunderstood the original post...I thought he was saying that he has an employee who is at different job sites for varying amounts of time and wanted to know if he could deduct the mileage...MY BAD...hehe

Not your bad Sandysea, I was just asking general questions as every year I get myself in such a tither as to when mileage is deductible and when it's not.

You said: "If however, the tp is going to one location to get his/her instructions and that is considered his employment location, then the mileage from the employer location to the job site should be deductible" and this is what I'm not sure about, is receiving instructions and gathering some needed tools to take to the job site enough to qualify it as deductible?

I have a construction worker who does go to the shop, maybe to the lumber yard and some days just to the job site. He does get a nonaccountable gas allowance because he does a lot of running. I have calculated the mileage from his home to the shop each day as commuting, and beyond that as deductible business mileage. Now I'm wondering if each of the job sites is actually his place of employment and I should not have deducted this mileage?

Now I have two employees - same Employer - one works primarily outside the metropolitan area and requires overnight stay, the other prefers to stay in state and drives anywhere from 30 to 250 miles round trip back and forth to the job, but never stays overnight. Can both of them, neither of them or only one of the two claim the mileage deduction?

[Jesse]

..... Sandy, the Heading was not necessarily related to the question, I was just clarifying the "heading" not the discussions posted.

Whenever a t/p has multiple business locations in the same day, the travel from one business location to another is considered business miles for 2106. Defining those business locations was or became the crux of the discussion.

Temporary assignment involves overnight stay even if the job is not far away, within reason.

I would change the heading if I could, sorry to confuse you. But I am still confused myself.

[sandysea]

Thank you for the kind words Jesse and Bob;

Your construction worker who has his main employment the shop can deduct the mileage from the shop to the lumber yard and to the job site if the job site is temporary. If the job site is routine to his daily commute, I think it would be too aggressive to take that as business mileage. You of course have to take his non accountable plan reimbursements as income to offset his travel...

Your other case...I think both employees could take the deduction. The one who stays out of town if outside metropolitan area needs rest, etc.. but he does not get the benefit the other employee who drives gets for the mileage...they both get a deduction and most likely would wash out from the mileage and the per diem rate for out of town travel....

[Eli]

What about a migrant...

worker. He's wanting to claim a little over 20000 miles on his vehicle. He worked in NC & VA. His home is in Texas. He worked apprx 7 months & returned home. He also has receipts totalling about 10000+ for hotel expenses. I haven't been able to find a scenario like this any where yet.

Thanks!

Eli

[BOB W]

Temporary......

...... work assignment. Review how long he stayed home in order to qualify as a temporary assignment. Just returning home is not enough. I think is has to be six months at home after his temporary assignment(s). Otherwise his tax home is where ever he works.

[Eli]

Thank you, Bob!!...

...... work assignment. Review how long he stayed home in order to qualify as a temporary assignment. Just returning home is not enough. I think is has to be six months at home after his temporary assignment(s). Otherwise his tax home is where ever he works.

Is there a specific pub you saw this at or maybe another post?

Thanks!

Eli