Reimbursable Travel and Meal expense for Independent Consultants
Hi. I am just starting out as an independent consultant and am now with my second client. I live in Washington State but will have worked in Missouri every Monday through Friday for 6 months. My client reimburses me for my travel expenses and meals. Unfortunately, being an inexperienced independent consultant, my agreement did not specify how reimbursable travel and meals will be reported on a 1099-MISC. My view is that if I substantiate the expenses, they should not be reported as income when my client sends the 1099-MISC. My client's view is that they will report it on he 1099-MISC. The point here is that neither one of us wants to eat the tax burden due to the 50% meal deduction.
If I substantiate my travel and meal expenses and get reimbursed by my client, do the IRS rules state that my client cannot report it on the 1099-MISC?
Thanks for the help.