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Old 10-21-2014, 10:33 PM
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Question Question on Tax Filing for Business Trip

Hi all,

This is my first post here, but have been learning a lot regarding other legal issues, and now have a question of my own.

I operate an LLC in the Commercial Photography / Commercial Art field, and recently took took a three week trip from Wisconsin to California, and then rented a car and eventually flew back from Denver.

I was contracted by a national sporting goods store to shoot specific images, but also visited a few friends along the way. There are also about 500 other photos which I will be marketing and selling to clients and stock agencies.

Originally, I wasn't planning on considering the trip a "business trip", however I've been told that I should write it off with my 2014 taxes. I basically charged everything for the trip, including airfare, auto rental, gas, food, etc, so have digital receipts - but camped in National Parks for almost two weeks of that time for the nature photography so there were other expenses associated with that.

Might anyone have an opinion on if I should or not - and consider the entire trip as a business expense?

Thank you in advance for taking the time to read this, any insight you may offer.

Regards,
Jonah



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Old 10-22-2014, 04:57 AM
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Join Date: Oct 2010
Posts: 5,233
Quote:
Originally Posted by WiscSmallBusine View Post

I operate an LLC in the Commercial Photography / Commercial Art field, and recently took took a three week trip from Wisconsin to California, and then rented a car and eventually flew back from Denver.

I was contracted by a national sporting goods store to shoot specific images, but also visited a few friends along the way. There are also about 500 other photos which I will be marketing and selling to clients and stock agencies.

Originally, I wasn't planning on considering the trip a "business trip", however I've been told that I should write it off with my 2014 taxes. I basically charged everything for the trip, including airfare, auto rental, gas, food, etc, so have digital receipts - but camped in National Parks for almost two weeks of that time for the nature photography so there were other expenses associated with that.

Might anyone have an opinion on if I should or not - and consider the entire trip as a business expense?

Thank you in advance for taking the time to read this, any insight you may offer.

Regards,
Jonah
It depends; basically as you can see, Business expenses are the cost of carrying on a trade or business. Travel expenses are among the most common business expense deductions. However, this type of expense is also one of the most confusing!These expenses are usually deductible if the business is operated to make a profit.biz travel is travel away from your tax home that is substantially longer than an ordinary day's work and that requires you to sleep or rest while away from home. You must also sleep away from home to be able to deduct these costs. The travel must also be temporary meaning lasting less than a year. Travel expenses paid or incurred in connection with a temporary work assignment away from home are deductible. However, travel expenses paid in connection with an indefinite work assignment are not deductible. Any work assignment in excess of one year is considered indefinite. Your travel must be primarily business-related in order to be deductible. Pleasure trips are never deductible. You can deduct travel expenses only if you are traveling away from home in connection with the pursuit of an existing business. if you travel to a destination and engage in both personal and business activities, you can deduct your traveling expenses to and from the destination only if the trip is primarily related to your business.however, If the trip is primarily personal in nature, none of your traveling expenses are deductible. This is true even if you engage in some business activities while you are there. (However, you may be able to deduct particular expenses you incur while you're at your destination if they otherwise qualify as biz deductions. You can't deduct travel expenses to the extent that they are lavish or extravagant—the expenses must be reasonable considering the facts and circumstances. However, the IRS gives you a great deal of latitude here. Your expenses won't be denied simply because you decided to fly first class, or dine in four-star restaurants.. There are special rules governing the following situations:
If you conduct your business in more than one place, you should consider the total time you ordinarily spend working in each place, the degree of your business activity in each place, and the relative amount of your income from each place to determine your "principal" place of business. The cost of dining alone is a deductible expense only if your business trip is overnight or long enough to require that you stop for sleep or rest.
Of course, if you entertain business guests at home or away you may be able to deduct a portion of the cost, if you meet the usual deductibility rules for meals and entertainment. However, even if you meet the requirements, you can deduct only 50 percent of the cost of the meals; You may deduct costs of operating and maintaining your car leased, using either actual expenses or the standard IRS mileage allowance. If you use the standard mileage allowance, you can also deduct tolls and parking expenses.



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