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    Bigbamm1's Avatar
    Bigbamm1 Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Dec 18, 2011, 09:35 AM
    Hello Tax Expert-Travel Costs and Commuting
    Hello
    I live in Florida, I moved here in 2004. I have been working with the same company since 1995. When I moved, my employer has paid for my air travel only since 2004. They asked me to stay working there. Now my compnay is being told the company and I have to pay taxes on my travel. I have neer been reimbursed for my travel-my company pays for it directly with a credit card. I have no other food or lodging expenses. I keep a car in Pennsylvania and stay with a friend at his house.
    I travel to the airport by car and pay my tolls and parking to my Florida airport.

    Do I need to pay taxes on this and does my employer needs to pay taxes on travel they pay directly? Your expert answer is greatly appreciated.
    BS
    Orlando, Florida
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #2

    Dec 18, 2011, 11:24 AM
    Who is demanding that taxes be paid: the IRS or the state of Pennsylvania?

    How much are we talking about?
    Bigbamm1's Avatar
    Bigbamm1 Posts: 2, Reputation: 1
    New Member
    		  
    #3

    Dec 18, 2011, 05:59 PM
    No one is demanding it-We have Audit accountants that review our in house accountant and our Medicare accountant. During our audit last week they were telling me and my boss that this is part of my salary and I should be paying taxes on it along with our company paying taxes on it. Again, I have no gain financially on the company travel cost and reimbursement. I don't see any part of it on my check and I do not submit an expense report.
    I have several friends that submit expense reports each month and get reimbursed monthly but do not pay any taxes on this
    MLSNC's Avatar
    MLSNC Posts: 158, Reputation: 17
    Junior Member
    		  
    #4

    Dec 18, 2011, 09:33 PM
    The thought process is that you work in PA but choose to live in Fla. Since this is not a temporary position, the travel from Fla to PA is commuting and therefore it is income to you. Unfortunately, based on the facts presented, I think what they are telling you would be the position an IRS auditor would take. I know that is not what you wanted to hear.
    AtlantaTaxExpert's Avatar
    AtlantaTaxExpert Posts: 21,836, Reputation: 846
    Senior Tax Expert
    		  
    #5

    Dec 19, 2011, 07:01 AM
    I tend to agree with MLSNC's position. Unless there is some legitimate business reason for you to work in Florida, the travel between PA and FL would probably be considered commuting and NOT a reimburseable travel expense.
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