Please Help-Question About Tax Free Subsidy

[NurseJacqui]

As a traveler I have always taken the offered housing as opposed to the stipend. However I will be taking an assignment in another state but the distance from my house to hospital is 36 miles. Am I eligible for stipend, even though I dont live 50 miles away, seeing as how I am out of state? I know people who get the subsidy even though their permanent residence is in same town! My agency has refused to " advise" me on this and said I need to talk to my accoutnant. (I don't have one). I am very confused and no one seems to know the answer. Can ANYONE help me?

[bagladyrn, RN]

The basic rule of thumb for "tax free" subsidy is that if you have a qualifying tax home AND your contract is far enough away that you must sleep before driving home, then you qualify. The tax status is based on duplication of expenses that you also pay at home. This is a simplified explanation and you should really talk to a tax professional to explain all the ins and outs to you.

Just because you see other people collecting this money while living at home and not paying taxes does not make it legal - they would be in a serious world of hurt if audited. Don't know about you, but I don't want to roll those dice!