Home on weekends. Company paid per diem and posted it on W-2, box 12a Code L. Company did not pay taxes on this amount. Husband did not have to keep receipts or account for his expenses. H&R Block says we have to pay taxes on this amount. What say you?

Thank you
Maggie in Texas

Code L means that the amount the company paid for your husband's per diem exceeded the amount allowed to be tax-free per IRS rules. The amount that is in excess of the allowable tax-free per diem payments should already be included in his wages shown in Box 1. The amount in Box 12a is the amount of "substantiated" (meaning non-taxed) per diem that your husband received. So: there is no need to report the box 12a amount as additional income - just report the amount in box 1 as usual.

Thank you for the speedy reply... will need to find a new tax preparer.