Tax Tip 2023-77
\nJune 6, 2023<\/p>\n
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Many people travel for their job \u2013 some for an occasional conference and some travel year-round. Whatever their time on the road, business travelers should know how and when to deduct business travel expenses<\/a>.<\/p>\n \u00a0<\/strong><\/p>\n What to know about tax deductions for business travel<\/strong><\/p>\n Business travel deductions are available for certain people who travel away from their home\u00a0or\u00a0main place of work\u00a0for business reasons. A taxpayer is traveling away from home if they are away for longer than an ordinary day’s work and they need to sleep in a location other than their home to meet the demands of their work while away.<\/p>\n <\/p>\n Travel expenses\u00a0must be ordinary and necessary. They can’t be lavish, extravagant or for personal purposes.<\/p>\n Employers can deduct travel expenses paid or incurred during a\u00a0temporary work assignment\u00a0if the assignment is less than one year.<\/p>\n <\/p>\n Travel expenses for\u00a0conventions\u00a0are deductible if attending them benefits the business. There are special rules for conventions held\u00a0outside of North America.<\/p>\n \u00a0<\/strong><\/p>\n Deductible travel expenses include:<\/strong><\/p>\n \u00a0<\/strong><\/p>\n Taxpayers can find more about the rules for travel deductions with Publication 463, Travel, Gift, and Car Expenses. <\/a><\/p>\n \u00a0<\/strong><\/p>\n Self-employed individuals or farmers with travel deductions<\/strong><\/p>\n \u00a0<\/strong><\/p>\n Travel deductions for Armed Forces reservists <\/strong><\/p>\n Members of a reserve component of the Armed Forces of the United States can claim a deduction for unreimbursed travel expenses paid during the\u00a0performance of their duty. These travel expenses must be for travel more than 100 miles away from their home.<\/p>\n\n
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