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I've done similar assignments.
If your client rents an apartment on your behalf, you may not even know what the rent is nor care; in this case it is substitute housing provided for you and would not enter your tax return at all. If you rent the apartment yourself, you will list the rent as an expense on Schedule C; your client reimburses you so it is also income on schedule C; it becomes a wash.
There are companies (one is called Oakland) in the business of providing apartments with furniture, pots and pans, and down to the TV, VCR and pictures on the wall. These items can be rented on a monthly basis. Again your client might pay the rent or you might and be reimbursed; it would count as income and be deducted on Schedule C.
Your client is paying you mileage which you are entitled to deduct. Another wash.
There was a listing by areas of the country of the amount per diem food expense which you are entitled to take while working away from home. Unless this has changed, you can receive the per diem and deduct the allowable amount for your part of the country. I used
to come out quite nicely on this by cooking in the apartment and only dining out occasionally. If you are deducting the per diem you don't have to save receipts.
This subject is quite well covered in any of the books on doing your taxes--Lasser's sticks in my mind but I'm sure the others cover it well.
If this is going to be a long-term arrangement you may want to consult a tax preparer one year, but the next you should understand the law and should be able to do it yourself. If you use a tax preparer, you still have to assemble all the information to give him/her, and it has always seemed to me that by the time I put together all those figures, might as well fill in the forms myself--much less trouble than knowing what information is needed and getting it all together!
Good luck! Chris
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