If you have a business trip lined up to a charming city or summer resort, you may end up tacking on a few days of vacation while you're there. And guess what? Most expenses will remain tax-deductible if you stay within the tax law boundaries.
Deducting your business-vacation travel expenses
To claim deductions for domestic business travel, the primary purposes of the trip must be related to business. Simply put, you must clearly spend more time on business than pleasure. Clearly separate your travel days on your calendar between "business days" and "personal days."
When it comes to writing off expenses, start with airfare or other round-trip transportation, lodging and 50 percent of the cost of your meals. Add on incidentals like cab fare to a business meeting. Just remember that costs related to the vacation part of the trip, such as extra hotel nights and sightseeing excursions, are nondeductible.
Here are a few hints for maximizing deductions on the trip:
Call us if you're thinking about adding a vacation to a business trip. We can help you understand what will and won't be deductible.
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