1099-Misc and expenses
Dear TaxGuru :
I have recently started working on 1099. I will be paid as 1099 consultant for the work I am undertaking with a consulting company. In fact, I just received my first check. The work that I am undertaking is located in DC. I live in a different state.
I have not yet been issued a 1099. when I am issued a 1099-Misc,
The client does not pay for my travel expenses. Can I deduct the travel expenses that I am currently paying by myself?
The end client is directly reimbursing me for food expenses. I submit the receipts and I get a check from them. Do I also have to report the food reimbursements some where when I file my taxes? The food reimbursements are not reported as income , so I am thinking I do not have to report and confuse IRS. Not sure though?Because, for a sole proprietor, my understanding is food is reimbursable by only 50%. However, my client is reimbursing me 100%, so do I give back to IRS?
They have rented furnished apartment for all the consultants. So I do not even submit any receipts for lodging, the client takes care of it.
I read that sole proprietors need to file quarterly? Is that true? If so, I need to talk to my consulting company to make sure they send me 1099 every quarter , right?
On a separate note, for the first two months, the client did not pay me any expenses for food, lodging or travel. Can I use the standard per diem chart from gsa.gov for that period?
Please let me know and thanks in advance for replying.