Deductions for Travel Away From Home

David M. Kaufmann, CPA

7200 S. Alton Way,
Suite B-195
Centennial, CO 80112
Voice: 720.493.4804
(toll-free) 800.326.6686

Fax: 303.796.7768
(toll-free) 888.326.6686

A taxpayer may be able to deduct travel, meals and lodging while away from home on business.

Unlike tax deductions for travel and lodging away from home, meals are limited to 50%. This can include personal meals where business is not discussed.

Other items may also be deducted, depending on the circumstances.

Sometimes the real issue is where is the tax home? It is not necessarily where the spouse and family reside. For example, if a pilot is stationed out of Dallas, and the family lives in Denver, the pilot's travel to and from Denver and Dallas is commuting, not business travel.

If the business traveler is on a temporary assignment, travel, meals and lodging are most likely deductible. If the job assignment is indefinite, travel, meals and lodging are most likely not deductible.

Temporary vs. indefinite job's tax definitions are not black and white. This is often the critical point on whether someone will get deductions for travel, meals and lodging away from home.

If an employee has expenses for business travel, meals and lodging away from home itemized deduction limitations may come into play.

If you have questions about this, do not hesitate to contact us at 720-493-4804.