Itinerant Worker Housing Deduction

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a_movable_life
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Itinerant Worker Housing Deduction

Post by a_movable_life » Sun Jan 20, 2019 4:59 pm

I am a Locums Nurse Practitioner getting self employed 1099 income. I have South Dakota as my Domicile with a mailbox, drivers license, plates, voting, etc. all homed at the mailbox. However I don’t actually live anywhere. I am classified to the IRS as an itinerant worker.

I did an extensive amount of reading before asking this.

I thought that because my Tax Home is where ever I am and there is no Duplication Of Expenses that my temporary apartment, any expenses for food and mileage is not deducible.

If I had a home elsewhere could take this off my Sch. C income and thus off the Income Tax, SE Tax, and NJ Tax (Where this gig is located). Which would then also raise my ACA subsidy.

I am in the “Not great” apartment complex in town at 1200 for a one bedroom versus 2500 a month for a Studio in an Extended Stay. (Like many a Boglehead would do.)

In the past Travel Nursing Agencies have gotten audited and fined for manipulating the various reimbursements, so that you get “Tax free” money. Those were W-2 positions.

The Recruiter at the agency said if they pay the rent on the apartment it’s not payable to me as 1099 income as it is a business expense to them and not to me. I said “Remember I am a special case as an itinerant, you need to talk to your accounting department and double check this.”

I said I was pretty sure if that was the case then I could deduct it myself off my Sch C. I also said I would love the opinion of a “real corporate senior accountant and tax expert that I am sure works for your agency.” To which I also expected an answer “We are unable to advise you on your specific situation.”

Recruiter came back with “We can deduct it and it will not be payable to you as income if we pay the rent for you.”

Because of several miscommunications, payroll errors, and some problems during this contract I don’t trust her to have actually gone and asked up her chain of command. I figure I would ask here before I go “I would like a letter from your tax expert/accounting department stating above.”

However I would prefer to save about 7 grand and get my MAGI for ACA lower. Maybe there is something that “The real corporate accountant” knows that I do not. This would also mean my housing for contracts I did in 2018 would also be deducible. So if I get this wrong I could be facing two or possibly three years of audits, fines, and so forth.

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BL
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Re: Itinerant Worker Housing Deduction

Post by BL » Sun Jan 20, 2019 5:20 pm

I don't know the answer to your question, but do you have a single person 401k or IRA so you can make tax-deferred contributions up to some sort of maximum? If not, that might be a simpler solution.

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a_movable_life
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Re: Itinerant Worker Housing Deduction

Post by a_movable_life » Sun Jan 20, 2019 5:22 pm

BL wrote:
Sun Jan 20, 2019 5:20 pm
I don't know the answer to your question, but do you have a single person 401k or IRA so you can make tax-deferred contributions up to some sort of maximum? If not, that might be a simpler solution.
Of course. Maxed out I401K 19K, 20% of the profit, HSA, and deductive IRA.

But why leave 6-7K on the table being taxed if I don't have to.

Thanks for checking in if I did not know about the I401K.

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BolderBoy
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Re: Itinerant Worker Housing Deduction

Post by BolderBoy » Sun Jan 20, 2019 9:55 pm

money_bunny wrote:
Sun Jan 20, 2019 4:59 pm
I am a Locums Nurse Practitioner getting self employed 1099 income. I have South Dakota as my Domicile with a mailbox, drivers license, plates, voting, etc. all homed at the mailbox. However I don’t actually live anywhere. I am classified to the IRS as an itinerant worker.

I did an extensive amount of reading before asking this.

I thought that because my Tax Home is where ever I am and there is no Duplication Of Expenses that my temporary apartment, any expenses for food and mileage is not deducible.

If I had a home elsewhere could take this off my Sch. C income and thus off the Income Tax, SE Tax, and NJ Tax (Where this gig is located). Which would then also raise my ACA subsidy.
You've asked about this before and I still think that the reasoning (and some of the info you present) is unusual. I'm looking for some education here, too.

For example, you said, "I am classified to the IRS as an itinerant worker." I'm unfamiliar with such a classification (and I was a 1099 worker for a couple of decades.) Who would classify you that way? If you get a 1099, you are an independent contractor. Does the IRS (or anyone else) know that you live in a POBox?

Your domicile is SD - that is your tax home. Some states may also come after you for 1099 income you earn in their states, but not all do that and to some extent it depends upon how the payments are reported (if reported corp-to-corp, the state may not come after you personally and interstate taxation usually doesn't apply to corporations that I'm aware of).

Do you have lawful authority that says if you do not pay rent or a mortgage in place A, then you cannot deduct business expenses for same in place B? The Duplication of Expenses part is what baffles me. I'm not saying you are wrong, just that I've never heard of such before. For example, I known people who had a roommate arrangement with other people, in which they paid nothing, and who also did locums work around the country (usually for 1-2 weeks at a time). They deducted all their expenses. Never were audited that I heard of.

From what you said, it sounds like the agency for whom you contract is offering to pick up your housing as their business expense or to let you take it as YOUR business expense. Am I understanding that correctly? Either / Or? In that case I'd certainly let them pick up that expense.

So that you have some framework from which I'm coming... My 1099 work (also healthcare) was arranged so that I received a meal per diem per day but the contracting entity paid for my lodging. I would include the meal per diem in my regular 1099 income and would deduct an M&I per diem amount on my Sched C each year. (M&I is meals and incidentals). I didn't deduct lodging since it was paid for by the contracting entity, directly.

At the very least, even if you can't (or don't think you can) take a deduction for housing at your 1099 worksite, I think you can take the M&I + Lodging per diem as a deduction on your Sched A. At least I certainly would.

These are the rates approved by the GSA and honored by the IRS: https://www.gsa.gov/travel/plan-book/pe ... tes-lookup
"Never underestimate one's capacity to overestimate one's abilities" - The Dunning-Kruger Effect

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Re: Itinerant Worker Housing Deduction

Post by montanagirl » Mon Jan 21, 2019 10:50 am

Itinerant worker means OP doesn't have a permanent tax home. The IRS has criteria and tests for this. It sounds like OP knows the score on this count and it would be fraudulent to represent the PO box in SD represents as a tax home.

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Re: Itinerant Worker Housing Deduction

Post by BolderBoy » Mon Jan 21, 2019 11:28 am

montanagirl wrote:
Mon Jan 21, 2019 10:50 am
Itinerant worker means OP doesn't have a permanent tax home. The IRS has criteria and tests for this. It sounds like OP knows the score on this count and it would be fraudulent to represent the PO box in SD represents as a tax home.
So I did some reading about this and it seems that you and the OP are both right (things have changed a lot in the last 10 years!) The OP is sort of homeless. :(

It also looks like it may be even worse than I thought at first - the 2018 tax law changed the allowed deductions of expenses in the way I was doing it (with the IRS's blessing) pre-2010.

So to the OP, wouldn't it be better to have your contracting agency pick up the lodging costs directly? And the 401k contribution route may be the only salient deductions you can take under your present circumstance.

Just FYI, many military members set up "tax homes" in a POBox in a state-income-tax-free state and the military honors such. No state income taxes are withheld from their pay and to my knowledge there have not been claims of fraud lodged against these folks.
"Never underestimate one's capacity to overestimate one's abilities" - The Dunning-Kruger Effect

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a_movable_life
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Re: Itinerant Worker Housing Deduction

Post by a_movable_life » Mon Jan 21, 2019 1:11 pm

BolderBoy wrote:
Mon Jan 21, 2019 11:28 am
So I did some reading about this and it seems that you and the OP are both right (things have changed a lot in the last 10 years!) The OP is sort of homeless. :(

It also looks like it may be even worse than I thought at first - the 2018 tax law changed the allowed deductions of expenses in the way I was doing it (with the IRS's blessing) pre-2010.

So to the OP, wouldn't it be better to have your contracting agency pick up the lodging costs directly? And the 401k contribution route may be the only salient deductions you can take under your present circumstance.

Just FYI, many military members set up "tax homes" in a POBox in a state-income-tax-free state and the military honors such. No state income taxes are withheld from their pay and to my knowledge there have not been claims of fraud lodged against these folks.
Thanks both of you. I have a much lengthier reply to post next since BolderBoy said this was relevant to him as well. I wrote it this morning and now have access to the internet to post it. I list the relevant IRS case. Ruling 73-529.

Yes I am homeless by choice. Which when you see my much longer reply to the first response has it's advantages and disadvantages.

I'd be curious to see how the 2018 tax laws changed for you? There are so few of us that the more WE know the more WE prosper.

The military has a special carve out for that for Military income. If I was a Military NP and then worked off base on the weekends that would be subject to State Income Tax. The actual example was working off base at Home Depot.

I think the issue is if they pay for it then it ends up in my 1099 as income. Either I pay for it now and I pay taxes on the total income, or they pay for it now and I pay taxes on the total income. It's a wash.

If you could get away with this, then I could see companies in the Bay Area or NYC going "So we are going to pay you 200K, and rent you a 5000K a month apartment for you." You won't pay income tax on the 30000 a year extra income. Even better I could own the company, own the apartment personally, rent it to myself and bypass Self-Employment tax and reduce my income. That is why there are all those rules about owning the practice and owning the building and paying yourself rent to get around SE taxes. Rich Dad Poor Dad's example was a tropical fish store.

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Re: Itinerant Worker Housing Deduction

Post by a_movable_life » Mon Jan 21, 2019 1:17 pm

I thought I had posted about Domicile versus Tax Home. It’s been a pretty intense two months since I started this contract and maybe I am forgetting. I’ll have to take a look back and see what I posted. I thought this was settled and then the recruiter got back to me about this. Thanks for the reminder.

There is an accountant who has made his niche travel nursing and other traveling medical professionals. Though the same rules could apply to Pipeliners, Fracking Crews, Etc. I asked him, and I probably should stop being cheap and just hire him to do my 2018 and 2019 taxes for his expert advice or ask what he wants for an hour phone consult.

There is a three factor test that the IRS uses to determine Internant status (Ruling 73-529) I have not actually read the primary source fully and am relying on secondary sources. https://www.irs.gov/pub/irs-wd/0020055.pdf

1. Performs a portion of the business within the declared tax home and uses the declared tax home for lodging purposes while performing business there.

2. Whether the taxpayer’s living expenses are duplicated as a result of their traveling for work.

3. Whether the taxpayer had abandoned the declared tax home. This is typically determined by how frequently the taxpayer uses the declared tax home for their own personal lodging and personal business, and whether or not the taxpayer has direct family members living in the declared tax home.

HTTP://blog.bluepipes.com/travel-nursin ... eductions/

Meet all three, you automatically qualify. Meet 2 of three then it’s more subjective during an audit. Meet 1 or none then you are an itinerant. Which there are not too many of us so again I don’t trust this recruiter to be getting this right. Plus two or three years from now if I was to be audited the agency will say “We are not qualified to give personal tax advice. You should have talked to an accountant/tax lawyer.”

The article I am pulling this from has some examples of where people have been caught as well as people trying “Workarounds.” Item 3 in particular since avoiding 2 means you need to meet 1 and 3. You mentioned people renting rooms and so forth. Again nothing wrong with that as long as for example it’s “Fair market value.” They have rule 3 to prevent me from renting a cheap in poor shape apartment at the bottom of the market in a VLCOL and then not really going back.

I should mention my stance is that I will do things as legitimately as possible. In part 3 of the article they talk about people renting a room, or other “Heard on the internet” misinformation. Yes like you said nobody got audited. Because people you and I know got away with it does not make it legal.

1. So firstly I have not been back to South Dakota (SD) since getting my license. I have no income of any kind on a W-2 or 1099 with a SD address on it. I do not have a SD RN and NP/APN licenses.

There is no apartment, or actual address out there. That really causes me problems on 1 and 3.

One of the examples is a Disney on Ice employee who lost in tax court since he traveled all the time and while he had major expenses he never went back to work in his tax home state.

2. No duplication of expenses. Since there is nothing out there but a mailbox. There is commentary that it has to be fair market rent.

Counterpoint for two people I know:

My friend the Welder. Lives with Mom and Dad in NJ. Does not contribute to home expenses. Worked at a local company in NJ until he took a temporary welding job in another state. Came back this month. He needs to work part time every year in NJ to keep that tax home between contracts. No duplication of expenses but meets 1 and 2. If he gets audited then he has a solid chance according to the articles, He’s filling out part time resident or resident NJ tax returns so NJ is getting their money so less risk of an audit there.

Someone else I know lives in Berea Kentucky. No building codes and they want to build a green house. But not too many jobs out there and they don’t pay as well. Rent part of someone else’s property pays next to nothing, helps out in the Summer in Lieu of rent. Lives in a trailer while they build their house in the Summer. She could in the Winter be a travel RN in Florida. Condition 2 is not met. Condition 1 she would need some actual income either working at a farm stand, or some sort of on the books income and should document the building of the home, and the gardening living “On the land” each summer. Condition 3 she has community there, is building the house or living in the house when it is completed.

In my opinion from these articles and what I have read:

It would be better if let’s say I wanted to do Locums in NYC where I am paying not 1200, or 2500, but more like 4000-5000 a month in rent/expenses easily to establish Domicile in Florida. Join some book clubs, meetup, hiking groups, Florida RN associations etc. Work a locums in Florida in the Winter with a three month lease. The come back to NYC or NJ where everyone I know lives and do another 6 month contract.

I could do the same in South Dakota. There are more Winter contracts in Florida though. Plus Winter in the Dakotas would be pretty brutal.

1. Meet criteria 1. Have income (1099/W2) with a Florida address on it from the Winter work.
2. Do not meet. I could rent a room or a trailer in the middle of nowhere for 500 a month. 3000 to save up to 27000 makes sense. Especially with IRS, NYS, and NYC taxes.
3. I come back every year do my banking, MD appointments, and so forth down there. Aunt and Uncle live down in Punta Gordita. Still not the most rock solid unless I built a life down there. That is how NJ and NY go after Grandma and Grandpa when the move to Florida.

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Re: Itinerant Worker Housing Deduction

Post by a_movable_life » Mon Jan 21, 2019 1:21 pm

montanagirl wrote:
Mon Jan 21, 2019 10:50 am
Itinerant worker means OP doesn't have a permanent tax home. The IRS has criteria and tests for this. It sounds like OP knows the score on this count and it would be fraudulent to represent the PO box in SD represents as a tax home.
How are you handling the Wither out there? Did you grow up there? People keep seeing my South Dakota plates and going "Well this weather is nothing like you are used to."

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BolderBoy
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Re: Itinerant Worker Housing Deduction

Post by BolderBoy » Mon Jan 21, 2019 2:15 pm

Wow. You've really thought this through. I read the revenue ruling you referenced and they placed a lot of emphasis on the time element, specifically the 1-year-or-less being away from the "tax-home". But you've taken it three steps further in your analysis pattern.

I have to defer to your [much] greater knowledge in this area. One thing you said which I think would kill any attempt to claim SD tax-home residency is the lack of RN/NP licenses in SD. An IRS auditor might find it odd that you aren't licensed in your "home state".

To say you have a complicated tax situation would be an understatement. I'm retired now but when I was locumsing around, my tax situation in the "traveling" regard was quite simply defined and my deductions were on-spot, correctly allowed and taken (I always had a physical home to which I returned and three weeks was the longest I was away). I have an NP friend who travels for work and maintains a Colorado home, physically, so her situation doesn't rise to the complexity of yours even though she can be gone for many months in a row.

Best of luck to you in parsing all this out.
"Never underestimate one's capacity to overestimate one's abilities" - The Dunning-Kruger Effect

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Re: Itinerant Worker Housing Deduction

Post by a_movable_life » Mon Jan 21, 2019 2:38 pm

BolderBoy wrote:
Mon Jan 21, 2019 2:15 pm
Wow. You've really thought this through. I read the revenue ruling you referenced and they placed a lot of emphasis on the time element, specifically the 1-year-or-less being away from the "tax-home". But you've taken it three steps further in your analysis pattern.

I have to defer to your [much] greater knowledge in this area. One thing you said which I think would kill any attempt to claim SD tax-home residency is the lack of RN/NP licenses in SD. An IRS auditor might find it odd that you aren't licensed in your "home state".

To say you have a complicated tax situation would be an understatement. I'm retired now but when I was locumsing around, my tax situation in the "traveling" regard was quite simply defined and my deductions were on-spot, correctly allowed and taken (I always had a physical home to which I returned and three weeks was the longest I was away). I have an NP friend who travels for work and maintains a Colorado home, physically, so her situation doesn't rise to the complexity of yours even though she can be gone for many months in a row.

Best of luck to you in parsing all this out.
Which is the case if I was like 90%+ of workers and they went somewhere for a while and did something then came home. I was almost certain that I was right and the agency was wrong. They made a $2,500 error on my 2018 taxes and they said they can fix that for my 2018 1099. I asked for that in writing from their accounting department which I received.

"Taking the chance" and then maybe I don't get audited, but then if I do it's multiple years of corrections that they will want to claw back. One of my RN instructors said her accountant told her a Rolex was deductible. It's not, a Casio maybe and if you only wear it to work. She may or may not get caught. Same with the Breitling Pilot's watch. Or a Coach case for your I-pad.

The way around the licensing would be if I had a different business in State and then left to make more money elsewhere, or the job was not available. Like pipe line welding. I could see being partners with a friend owning real estate and leaving middle PA to go make more money to feed into the building. But then I have established community, ties, bank accounts, and income in the State.

It's not actually that complicated other than that. I'm hoping someone with more knowledge chimes in.

Rob

Cmnilz87
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Re: Itinerant Worker Housing Deduction

Post by Cmnilz87 » Mon Jan 21, 2019 3:33 pm

Instead of being itinerant.... could you set your home base as your parents or a siblings. They put you on one of their home utility bills as a secondary and you pay it for them. You have a tax state and home base then and need not worry about the taxes on the per diem since then you’d be able to claim issues 1 and 3 moot.

In my case as a traveling field engineer, I keep one residence in ND (aka parents) and I pay some of their bills showing I live there. When in Texas/NM/AZ. All my daily per diem is non taxed due to me showing legitimate proff I’m paying double for traveling

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Re: Itinerant Worker Housing Deduction

Post by a_movable_life » Thu Jan 24, 2019 6:06 pm

Cmnilz87 wrote:
Mon Jan 21, 2019 3:33 pm
Instead of being itinerant.... could you set your home base as your parents or a siblings. They put you on one of their home utility bills as a secondary and you pay it for them. You have a tax state and home base then and need not worry about the taxes on the per diem since then you’d be able to claim issues 1 and 3 moot.

In my case as a traveling field engineer, I keep one residence in ND (aka parents) and I pay some of their bills showing I live there. When in Texas/NM/AZ. All my daily per diem is non taxed due to me showing legitimate proff I’m paying double for traveling
I thought about that. "Who do I know in a LCOL, low tax state who would like me to pay for some of their bills." See my example for NYC versus Podunk, NJ. In this case it the cost differential does not matter enough to make it worth it.

The thing is a 50 dollar electric bill is not going to be "Fair Market Value." I have those two friends I reference and they both live at home when they are not on assignments. Same as you. The get per-diem also. If they were paying 1/3 the bills including PITI or about whatever the average Craigslist amount to rent a room in their town was then I think they would be ok. But they don't. The company is not asking about it. Several of the RN travel companies were audited and now some require you to fill out a form stating "I am not an internant."
In another court case, two brothers worked for a pipeline company that sent them to complete short term projects at various locations throughout the country. The brothers owned an ancestral home in Vallejo, California and returned there from time to time between projects. They also had a disabled sister who lived in the home on a permanent basis. One of the brothers paid for his living expenses while residing in the home and the other pitched in for bills and even paid the property taxes on occasion. The court ruled that the expenses were financial support for the sister rather than maintenance costs for the home. As a result, they were unable to declare the home as a tax home and therefore did not qualify to receive tax free stipends.
Source: https://blog.bluepipes.com/travel-nursi ... ds-part-3/

Is that the probability of an audit is low. You, my friends, many people are probably going to be able to get away with this. Obviously the State and IRS auditors have only so many hours in the day to go after people. Again getting away with it does not mean it's legal. Based on the references you would need to work in the area around your parents either at home base for the company or another gig for part of the year. It states "Significant" income which I guess is up to interpretation. You already meet the third condition being that it is your parents house and you have family and community there.

I really do not want to get into an audit situation where I don't have a leg to stand on. The lawyers alone are going to cost me more than the 6000 dollars I am saving not including my stomach lining.

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Re: Itinerant Worker Housing Deduction

Post by Cmnilz87 » Sat Jan 26, 2019 11:04 am

money_bunny wrote:
Thu Jan 24, 2019 6:06 pm
Cmnilz87 wrote:
Mon Jan 21, 2019 3:33 pm
Instead of being itinerant.... could you set your home base as your parents or a siblings. They put you on one of their home utility bills as a secondary and you pay it for them. You have a tax state and home base then and need not worry about the taxes on the per diem since then you’d be able to claim issues 1 and 3 moot.

In my case as a traveling field engineer, I keep one residence in ND (aka parents) and I pay some of their bills showing I live there. When in Texas/NM/AZ. All my daily per diem is non taxed due to me showing legitimate proff I’m paying double for traveling
I thought about that. "Who do I know in a LCOL, low tax state who would like me to pay for some of their bills." See my example for NYC versus Podunk, NJ. In this case it the cost differential does not matter enough to make it worth it.

The thing is a 50 dollar electric bill is not going to be "Fair Market Value." I have those two friends I reference and they both live at home when they are not on assignments. Same as you. The get per-diem also. If they were paying 1/3 the bills including PITI or about whatever the average Craigslist amount to rent a room in their town was then I think they would be ok. But they don't. The company is not asking about it. Several of the RN travel companies were audited and now some require you to fill out a form stating "I am not an internant."
In another court case, two brothers worked for a pipeline company that sent them to complete short term projects at various locations throughout the country. The brothers owned an ancestral home in Vallejo, California and returned there from time to time between projects. They also had a disabled sister who lived in the home on a permanent basis. One of the brothers paid for his living expenses while residing in the home and the other pitched in for bills and even paid the property taxes on occasion. The court ruled that the expenses were financial support for the sister rather than maintenance costs for the home. As a result, they were unable to declare the home as a tax home and therefore did not qualify to receive tax free stipends.
Source: https://blog.bluepipes.com/travel-nursi ... ds-part-3/

Is that the probability of an audit is low. You, my friends, many people are probably going to be able to get away with this. Obviously the State and IRS auditors have only so many hours in the day to go after people. Again getting away with it does not mean it's legal. Based on the references you would need to work in the area around your parents either at home base for the company or another gig for part of the year. It states "Significant" income which I guess is up to interpretation. You already meet the third condition being that it is your parents house and you have family and community there.

I really do not want to get into an audit situation where I don't have a leg to stand on. The lawyers alone are going to cost me more than the 6000 dollars I am saving not including my stomach lining.
They must’ve pissed off somebody at the IRS because then owning the house isn’t considered a home dwelling? Them paying the bills and property tax each year? That’s ridiculous.

Travel nurse places all over have done this even in North Dakota/MN when I was in nursing school. CNA work was rough, but they all paid like 12/hr but jacked up the per diem to hide the dollars.

I think your case of getting audited is quite low, as long as everything is kosher and you go through an accountant and they sign off on it, I’d trust they won’t come. Most people that get audited is because of nice neat rounded numbers, claiming excess deduction and home office deductions, not filing all your w-2/1099. If you’re making over 100k which is likely, chance of an audit is roughly 0.61%. That’s based off irs website

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Re: Itinerant Worker Housing Deduction

Post by a_movable_life » Thu Jan 31, 2019 5:24 pm

Cmnilz87 wrote:
Sat Jan 26, 2019 11:04 am

They must’ve pissed off somebody at the IRS because then owning the house isn’t considered a home dwelling? Them paying the bills and property tax each year? That’s ridiculous.
The issue is not owning the house it's the duplicate expenses. I could own a rental home with no intent of ever living there, or ever going back.

Paying the bills and property tax is related to the amount of the bills compared to Fair Market Rent. If I pay a 25 dollar a month Gas Bill and rent is 1200 a month that is not going to work. If I pay 15,000 in taxes which is 1/3 the cost and I could conceivably rent a room from the owner then it might work.

The issue again is IF you get caught then you don't have a leg to stand on. Like you said it's highly unlikely that I would get audited, I have a friend who is "You never gonna get caught." "Oh you no need to do that." "Nobody does all of that..." That's why I did all this research it would have been a heck of a lot easier to plead ignorance and have the Agency pay for it and reduce my income by 10K. Ignorance does not save me the back tax and wages.

Recently and it's listed in one of the articles above the IRS and State Tax Agencies have been auditing more travel nurses and these agencies because of flat out tax avoidance. It's not hard to search in the database for unique socials attached to W-2's from that EIN and then have the computer flag all of them for Mail Audits.

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Re: Itinerant Worker Housing Deduction

Post by a_movable_life » Mon Feb 18, 2019 2:41 pm

Follow up:

As I expected. I finally after a month or two of going back and forth with the Recruiter. She did not consult with the accounting department, only with her manager.

When I asked as I said above to speak with the accounting department I got the answer I predicted above: "In speaking with our accounting team, they recommend you reach out to your CPA regarding questions about the Itnerant IRS status."

To whomever finds this via the search function be very wary what advice you are being given and from whom.

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