This could be one tiny victory against the massive compliance costs of our current tax code:
Last night Ways and Means Committee Members Earl Pomeroy (At largeโN.D.) and Sam Johnson (3rd Dist.-Texas) introduced the MOBILE (Modernize Our Bookkeeping In the Law for Employeeโs) Cell Phone Act. The legislation, H.R. 5450, would update the tax treatment of cell phones and Blackberries used for business and repeal the requirement that employers maintain detailed logs of cell phone use. In 1989, a section of tax law was passed that required cell phones provided by employers must be used more than 50% of the time for business purposes to be nontaxable to the employee. At the time, corporate cell phones were an expensive technology provided mostly to executives and were worthy of detailed log sheets as required by the Internal Revenue Service (IRS). Nearly 20 years later, the tax law still exists, despite numerous advances in wireless technology. Recently, the IRS issued audit guidelines that reminded field examiners of the cell phone log-sheets requirement. Employers caught without cell phone logs face added taxes and penalties during audits, so many are maintaining expensive and detailed logs just for tax purposes.





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