How To Write-Off Travel Expenses

Share

Date:
May 19, 2022

Author:
FLOR DINESCU

filed in:
Featured, Tax Strategy

Do you know one of the main reasons most Americans overpay their taxes?

It’s because they simply do not know all the expenses they could be writing off.

This is especially true if you’re a small business owner.

For example, if you travel for business, you can write off most of your expenses for that trip…

And you can do that even if you mix in a few vacation days during your trip (as long as the trip is primarily for business).

The crazy thing is a lot of people get nervous about writing trips off because they think they’re “tricking” the IRS and that it’ll trigger some sort of audit.

However, this is simply NOT true.

In fact, you can go to the actual IRS website and read Publication 463 Travel, Gift, and Car Expenses for yourself.

On page 6 the IRS states:

“You can deduct all of your travel expenses if your trip was entirely business related.”

It goes on to say that if you:

“…extended your stay for a vacation, made a personal side trip, or had other personal activities, you can deduct only your business-related travel expenses.”

And then they give the following example:

————-

“You work in Atlanta and take a business trip to New Orleans in May. Your business travel totals 900 miles round trip. On your way home, you stop in Mobile to visit your parents.

You spend $2,165 for the 9 days you are away from home for travel, non-entertainment-related meals, lodging, and other travel expenses.

If you hadn’t stopped in Mobile, you would have been gone only 6 days, and your total cost would have been $1,633.50.

You can deduct $1,633.50 for your trip, including the cost of round-trip transportation to and from New Orleans.”

————-

So did you catch that?

The IRS themselves are telling you that even if you tack on a short vacation to your business trip, you can still write off most of the trip (even the cost of the round-trip transportation).

You just can’t write off the specific vacation-related expense.

And you can do it in good conscience, knowing you’re not tricking the IRS…

Instead, you’re just reaping the benefits of having taken the time to educate yourself about taxes.

And this is just ONE example of many write-offs you could be taking.

Want to learn how I plan my trips? Let’s Chat.

Cheering for you,

Flor.

Reply...

view our services

More about Chronicle

Back to the Journal

Still browsing? You might like to check these out!