Is Business Travel Tax Deductible?

✓ Yes, it's deductible
When you travel away from your tax home overnight for business, the expenses are deductible. This includes airfare, hotels, rental cars, Ubers, meals (at 50%), tips, baggage fees, and WiFi charges. The trip must be primarily for business.

What's deductible?

The "primarily for business" rule

If you extend a business trip for personal vacation days, only the business days are deductible for lodging. Airfare is still fully deductible as long as the primary purpose of the trip was business.

Example: You fly to a 3-day conference, then stay 2 extra days to sightsee. The flight is 100% deductible. Hotels for 3 business nights: deductible. Hotels for 2 personal nights: not deductible.

International travel

For trips outside the US, the rules are stricter. If the trip is 7 days or less, it's treated the same as domestic travel. For longer trips, you must allocate expenses between business and personal days unless you had no control over the trip's timing or personal activities were minimal (less than 25% of the time).

IRS Reference
See IRS Publication 463 (Travel, Gift, and Car Expenses), Chapter 1. Report on Schedule C. Keep receipts for all expenses over $75.

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