Today, the IRS and the Treasury Department issued final regulations under Sections 162 and 262 on the deductibility of lodging expenses when an individual is not traveling away from home (local lodging).  The final regulations generally adopt proposed regulations issued in 2012 and permit certain lodging expenses to be deductible ordinary and necessary business expenses of an individual if incurred directly or, if incurred by an employer, excludible from income as a working condition fringe benefit.  The final regulations apply to expenses paid or incurred on or after October 1, 2014 as well as expenses paid or incurred in taxable years ending before October 1, 2014, for which the period of limitations on credit or refund under Section 6511 has not expired.