[GNC] per diem expenses

[Michael or Penny Novack]

On 12/16/2022 7:40 AM, Murugan Muruganandam wrote:
> Alan
>
> How you treat perdiem is a tax question. For registering purposes, if perdiem is also part of your monthly transfer, then you debit bank and credit income:Perdiem.
> many states allow without furnishing bills if you are below fed thrushold, so your accountant can show this account as excluded from tax calculation.
> if in case you need to show bills , suggest you register your food bills in a separate expense account so you can consider the same for tax purposes

I really think the issue is much more complicated than this.

It is possible that NOT counted as income. If that seems strange, 
consider that the employee or contractor is being forced to eat out 
(more expensive) rather than eat at home, bring meals from home, etc. 
The fact that the "employer" is JUST doing food by "per diem" and not 
also for lodging suggests to me that it is the "self 
employed/independent contractor" rules being followed << again taking 
into account that this is NOT "my line of country", employees allowed to 
get per diem for housing but not self employed, for whom that would be 
income >>  There are expense reporting requirements (to the "employer") 
but again I think different whether receipts need to be turned in 
depends on "employee" vs "contractor" (in other words how reported might 
be different)

Check with an accountant who knows about THIS specialized aspect of the 
tax codes.

NOW --- the question of "accounting for in gnucash if it turns out NOT 
counting as income and expense. Might want to split off as a separate 
income category and expense category so can see totals both without and 
including.

Michael D Novack