Nick Hull wrote:
- quote -

The IRS position is that if the taxpayer reasonably expected
this job to last for under one year, it is temporary and his
tax home would not have changed. At the time that the
taxpayer becomes aware that the period of employment is
going to extend beyond one year, it is no longer a temporary
assignment and his tax home has changed to the job location.
The period of deductibility ends at the time that the
taxpayer is made aware that the temporary assignment of less
than one year is going to extend past one year.

In the set of facts presented, there is no information on
what was the original expectation. It only said he has been
working there for 11 months. If the taxpayer reasonably
expected the job to last for a year or less, the deductions
are reasonable for the 11 months. If he now learns that he
is going to go beyond the 11 months, then 11 months is the
cutoff date.

All of this is a matter of facts and circumstances. I have
not researched the issue as to whether there is a ruling on
a set of facts that have allowed a taxpayer to maintain his
original tax home even after 12 months have elapsed.

--
Alan
http://taxtopics.net

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"My News Server" <anonymous[at]themurrayfamily.org> wrote:

- quote -

Since your contracts are for less than 12 months I don't see
a problem. If in doubt, don't extend the contract but start
a new one.

--
free men own guns - slaves don't
www.geocities.com/CapitolHill/5357/

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I am a self employed independent contractor who has been
working on a contract for about 11 months. There is a good
chance that my client will want to extend my contract past
12 months. Are my travel expenses deductible after 12
months at the same location. Tax Topic 511 says that any
temporary work assignment greater than 1 year is considered
an indefinite period and indefinite periods do not qualify
for travel deductions.

http://www.irs.gov/taxtopics/tc511.html

I have talked to two CPAs and gotten 2 different answers.
One says I can not work at this location past 12 months
w/out losing travel deductions. The other says I am self
employed and that this publication does not apply.

Any other ideas?

I may have an opportunity to extend the contract, but work
at a different client site.

Thanks.
Publication 511- business travel expenses

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