TAX FILE: Uncle Sam picks up more of the meal tab

The Internal Revenue Service issued its annual revenue procedure setting forth allowances for lodging, meals, and incidental expenses under accountable plans. Rev. Proc. 2005-67 (www.irs.gov) boosts the amount that truck drivers can claim for out-of-town meal and incidental expenses from $41 per day in 2004 and 2005 to $52 per day, beginning October 1, 2005. The rate for Hawaii, Alaska, Canada, and

KEN SIMONSON

Nov. 1, 2005

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The Internal Revenue Service issued its annual revenue procedure setting forth allowances for lodging, meals, and incidental expenses under “accountable plans.” Rev. Proc. 2005-67 (www.irs.gov) boosts the amount that truck drivers can claim for out-of-town meal and incidental expenses from $41 per day in 2004 and 2005 to $52 per day, beginning October 1, 2005. The rate for Hawaii, Alaska, Canada, and other areas outside the contiguous 48 states jumps from $46 to $58 per day. The list of “high-cost” localities and their rates have also been adjusted. Rules governing such details as excess payments, partial days away from home, and substantiation remain unchanged.