SECTION 1. PURPOSE

This revenue procedure provides optional rules under which an employee of a

October 14, 1997 10 1997–41 I.R.B.

federal government agency who is reimbursed for ordinary and necessary business expenses relating to travel, entertainment, gifts, or listed property (such as an employee’s automobile) may make an adequate accounting to the employer to substantiate those expenses (under §§ 1.274–5T(f)(2) and (4)(ii) of the temporary Income Tax Regulations) by submitting an account book, diary, log, etc., alone, without submitting documentary evidence such as receipts. These rules generally apply to employees of the executive and judicial branches, and certain employees of the legislative branch, of the federal government.