Deducting Business Travel Expenses, with Craig Cody

May 25, 2022

Episode 52:

If you’re planning to travel for work, you’ve likely thought about deducting business travel expenses.  Listen to this episode to hear insights about:

  • How business travel documentation rules differ between corporations and proprietorships
  • Why you need to report your business travel on your business taxes rather than your personal taxes
  • The four elements you must be able to prove and therefore should keep a record of
  • Why travel meals are separate from other travel expenses
  • Which travel expenses you should keep receipts for, and if you can use credit card statements instead
  • What constitutes a timely kept record of your tax expenses for the IRS
  • How to properly submit travel expenses to your corporation
  • The most important piece of information that you need to keep a record of for business travel expenses
  • What are the two different types of tax-deductible business travel expenses
  • How do you know if you can deduct business trips, even if you’ll be on the trip for more than just business
  • How travel deductions differ between US travel and international travel

Travel Expense Rules

Traveling for work can be a great way to experience more and grow your business. However, all travel is not the same. This week on the Progressive Agency Podcast, I discuss deducting your business travel expenses. I explain the differences in travel documentation rules if you’re a corporation or a proprietorship. During this solocast. I also discuss how to properly keep a record of your expenses. Listen to the episode to learn more.

Deducting Business Travel Expenses

Proving It

If you plan to deduct your business travel, you must be prepared to prove your expenses to the IRS if needed. There are four elements that you should always keep a record of to prove your business travel. The first being the amount of each expenditure, the second is the dates of travel, departure and return. Third, you should keep a description of the location of your trip. Last, and most importantly, is the business purpose for your trip. During our conversation, I explain how to easily maintain this record.

Business or Personal

When you plan a business trip, it’s possible that you may plan to extend your trip for longer. A common thought is, if you stay longer on a professional trip for personal reasons, can you still expense it? In this episode, I explain how this differs when traveling within the United States and internationally. Listen to the episode to learn how many days of your trip you’re required to work in order for it to be covered as a business expense. Click here to learn more:

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Additional Resources:

About Craig Cody:

Craig Cody is a Certified Public Accountant, Certified Tax Coach™, business owner, and the host of The Progressive Dentist Podcast and The Progressive Agency Owner Podcast. Prior to his current work, Craig spent seventeen years with the NYPD, where he retired as a Lieutenant in September 2000. Craig is an expert in helping his clients legally reduce their tax liabilities and keep more of their money. Through his podcast, Craig helps dentists grow their practices through smart financial decisions and through financial education of the kind that isn’t offered in dental school.

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