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Talking Travel Taxes: The 50 Mile Rule - The Gypsy Nurse

The 50-Mile Rule: Your Guide to Infidelity and Extramarital Etiquette

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The 50 Mile Rule - Signs of a Cheater

So where does this myth come from? Joseph Smith, a tax consultant specializing in travel nursing tax issues, offers 3 possible origins on his website . First, there is a 50 mile rule for state legislators to determine if they are away from home and able to accept their per diem payments. Second, in order to write off moving deductions, the IRS requires that a taxpayer’s new commute to work be more than 50 miles farther than their old commute. Third, many travel nursing companies have utilized the 50 mile rule as an internal policy for so long that it has come to be viewed as an IRS regulation. Elaborating on this third possible origin will provide some interesting insights on the industry.

Perhaps the most common fallacy regarding for travel nurses is “The 50 Mile Rule.” This myth is prominent among both travel nurses and This “rule” is often said to allow nurses to accept tax-free stipends as part of their travel nursing pay as long as the assignment they’re taking is 50 miles or more from their tax home. This is not correct. The IRS makes no such determination. There is no such rule.

Is the "50 Mile Rule" Actually a Myth for Travel Nurses? | BluePipes

  • Marcos June 8, 2016 at 2:35 am

    Joseph, if I duplicate lodging expenses in a place place 47 miles from my tax home, for convenience. Am I able to receive a tax free stipend legally?

    Reply
    • GypsyNurse June 8, 2016 at 4:49 pm

      From the article above:
      “Reality: Tax free reimbursements for lodging are only allowed when one is traveling away from their tax home (not their permanent residence)[ii] and the distance traveled requires the employee to get rest and sleep at the assignment location to fulfill their duties at the facility. There is no mileage benchmark for this. It is a simple overnight stay test.”

      There is no 50 mile IRS rule. That is a generality people use that has no bearing on the law. Always speak with your accountant to make sure, but in this case it appears the tax-free stipends would be effective assuming your use of the word convenience means needing to stay overnight due to time/duration to return home and complete your assignment.

      Reply
  • CASINO PROXIMITY - THE 50 MILE RULE

    Perhaps the most common fallacy regarding for travel nurses is “The 50 Mile Rule.” This myth is prominent among both travel nurses and This “rule” is often said to allow nurses to accept tax-free stipends as part of their travel nursing pay as long as the assignment they’re taking is 50 miles or more from their tax home. This is not correct. The IRS makes no such determination. There is no such rule.

    So where does this myth come from? Joseph Smith, a tax consultant specializing in travel nursing tax issues, offers 3 possible origins on his website . First, there is a 50 mile rule for state legislators to determine if they are away from home and able to accept their per diem payments. Second, in order to write off moving deductions, the IRS requires that a taxpayer’s new commute to work be more than 50 miles farther than their old commute. Third, many travel nursing companies have utilized the 50 mile rule as an internal policy for so long that it has come to be viewed as an IRS regulation. Elaborating on this third possible origin will provide some interesting insights on the industry.