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Irs Ez Form

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Irs Ez Form

Irs ez form Publication 915 - Introductory Material Table of Contents Reminders IntroductionOrdering forms and publications. Irs ez form Tax questions. Irs ez form Useful Items - You may want to see: Reminders Future developments. Irs ez form  The IRS has created a page on IRS. Irs ez form gov for information about Publication 915, at www. Irs ez form irs. Irs ez form gov/pub915. Irs ez form Information about any future developments affecting Publication 915 (such as legislation enacted after we release it) will be posted on that page. Irs ez form Photographs of missing children. Irs ez form  The Internal Revenue Service is a proud partner with the National Center for Missing and Exploited Children. Irs ez form Photographs of missing children selected by the Center may appear in this publication on pages that would otherwise be blank. Irs ez form You can help bring these children home by looking at the photographs and calling 1-800-THE-LOST (1-800-843-5678) if you recognize a child. Irs ez form Introduction This publication explains the federal income tax rules for social security benefits and equivalent tier 1 railroad retirement benefits. Irs ez form It is prepared through the joint efforts of the Internal Revenue Service (IRS), the Social Security Administration (SSA), and the U. Irs ez form S. Irs ez form Railroad Retirement Board (RRB). Irs ez form Social security benefits include monthly retirement, survivor, and disability benefits. Irs ez form They do not include supplemental security income (SSI) payments, which are not taxable. Irs ez form Equivalent tier 1 railroad retirement benefits are the part of tier 1 benefits that a railroad employee or beneficiary would have been entitled to receive under the social security system. Irs ez form They are commonly called the social security equivalent benefit (SSEB) portion of tier 1 benefits. Irs ez form If you received these benefits during 2013, you should have received a Form SSA-1099, Social Security Benefit Statement, or Form RRB-1099, Payments by the Railroad Retirement Board, showing the amount. Irs ez form (If you are a nonresident alien, you should have received Form SSA-1042S, Social Security Benefit Statement, or Form RRB-1042S, Statement for Nonresident Alien Recipients of: Payments by the Railroad Retirement Board. Irs ez form ) Note. Irs ez form When the term “benefits” is used in this publication, it applies to both social security benefits and the SSEB portion of tier 1 railroad retirement benefits. Irs ez form What is covered in this publication. Irs ez form   This publication covers the following topics: Whether any of your benefits are taxable, How much is taxable, How to report taxable benefits, How to treat lump-sum benefit payments, and Deductions related to your benefits, including a deduction or credit you can claim if your repayments are more than your gross benefits. Irs ez form The Appendix at the end of this publication explains items shown on your Form SSA-1099, SSA-1042S, RRB-1099, or RRB-1042S. Irs ez form What is not covered in this publication. Irs ez form   This publication does not cover the tax rules for the following railroad retirement benefits: Non-social security equivalent benefit (NSSEB) portion of tier 1 benefits, Tier 2 benefits, Vested dual benefits, and Supplemental annuity benefits. Irs ez form For information on these taxable pension benefits, see Publication 575, Pension and Annuity Income. Irs ez form   This publication also does not cover the tax rules for foreign social security benefits. Irs ez form These benefits are taxable as annuities, unless they are exempt from U. Irs ez form S. Irs ez form tax or treated as a U. Irs ez form S. Irs ez form social security benefit under a tax treaty. Irs ez form Comments and suggestions. Irs ez form   We welcome your comments about this publication and your suggestions for future editions. Irs ez form   You can write to us at the following address: Internal Revenue Service Tax Forms and Publications Division 1111 Constitution Ave. Irs ez form NW, IR-6526 Washington, DC 20224   We respond to many letters by telephone. Irs ez form Therefore, it would be helpful if you would include your daytime phone number, including the area code, in your correspondence. Irs ez form   You can send your comments from www. Irs ez form irs. Irs ez form gov/formspubs/. Irs ez form Click on “More Information” and then on “Comment on Tax Forms and Publications”. Irs ez form   Although we cannot respond individually to each comment received, we do appreciate your feedback and will consider your comments as we revise our tax products. Irs ez form Ordering forms and publications. Irs ez form   Visit www. Irs ez form irs. Irs ez form gov/formspubs/ to download forms and publications, call 1-800-TAX-FORM (1-800-829-3676), or write to the address below and receive a response within 10 days after your request is received. Irs ez form Internal Revenue Service 1201 N. Irs ez form Mitsubishi Motorway Bloomington, IL 61705-6613 Tax questions. Irs ez form   If you have a tax question, check the information available on IRS. Irs ez form gov or call 1-800-829-1040. Irs ez form We cannot answer tax questions sent to either of the above addresses. Irs ez form Useful Items - You may want to see: Publication 505 Tax Withholding and Estimated Tax 575 Pension and Annuity Income 590 Individual Retirement Arrangements (IRAs) Forms (and Instructions) 1040-ES Estimated Tax for Individuals SSA-1099 Social Security Benefit Statement RRB-1099 Payments by the Railroad Retirement Board W-4V Voluntary Withholding Request See How To Get Tax Help near the end of this publication for information about getting these publications and forms. Irs ez form Prev  Up  Next   Home   More Online Publications
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This federal law, which dates back to 1972, was intended to protect consumers in their homes during door-to-door sales pitches or at sales in temporary business locations. According to the FTC, the 3-Day Cooling Off Rule does NOT apply to the purchase of new automobiles or items sold online. It only applies when a company is selling something that costs $25 or more at a location other than its regular place of business.

To comply with the 3-Day Cooling Off Rule, a seller must inform a buyer of his/her right to cancel the sale and receive a full refund within three business days.

Be aware that there are situations in which the Cooling-Off Rule does not apply:

  • You made the purchase entirely by mail or telephone.
  • The sale was the result of prior contact you had at the seller's permanent business location.
  • You signed a document waiving your right to cancel.
  • Your purchase is not primarily for personal, family or household use. .
  • You were buying real estate, insurance, securities, or a motor vehicle.
  • You can't return the item in a condition similar to how it was when you got it.
  • You bought arts or crafts at a fair, shopping mall, civic center, or school.

Remember, if you paid by credit card and are having difficulty getting your refund, you may also be able to dispute the charge with your credit card company under the Fair Credit Billing Act.

The Irs Ez Form

Irs ez form 1. Irs ez form   Travel Table of Contents Traveling Away From HomeTax Home Tax Home Different From Family Home Temporary Assignment or Job What Travel Expenses Are Deductible?Employee. Irs ez form Business associate. Irs ez form Bona fide business purpose. Irs ez form Meals Travel in the United States Travel Outside the United States Luxury Water Travel Conventions If you temporarily travel away from your tax home, you can use this chapter to determine if you have deductible travel expenses. Irs ez form This chapter discusses: Traveling away from home, Temporary assignment or job, and What travel expenses are deductible. Irs ez form It also discusses the standard meal allowance, rules for travel inside and outside the United States, luxury water travel, and deductible convention expenses. Irs ez form Travel expenses defined. Irs ez form   For tax purposes, travel expenses are the ordinary and necessary expenses of traveling away from home for your business, profession, or job. Irs ez form   An ordinary expense is one that is common and accepted in your trade or business. Irs ez form A necessary expense is one that is helpful and appropriate for your business. Irs ez form An expense does not have to be required to be considered necessary. Irs ez form   You will find examples of deductible travel expenses in Table 1-1 , later. Irs ez form Traveling Away From Home You are traveling away from home if: Your duties require you to be away from the general area of your tax home (defined later) substantially longer than an ordinary day's work, and You need to sleep or rest to meet the demands of your work while away from home. Irs ez form This rest requirement is not satisfied by merely napping in your car. Irs ez form You do not have to be away from your tax home for a whole day or from dusk to dawn as long as your relief from duty is long enough to get necessary sleep or rest. Irs ez form Example 1. Irs ez form You are a railroad conductor. Irs ez form You leave your home terminal on a regularly scheduled round-trip run between two cities and return home 16 hours later. Irs ez form During the run, you have 6 hours off at your turnaround point where you eat two meals and rent a hotel room to get necessary sleep before starting the return trip. Irs ez form You are considered to be away from home. Irs ez form Example 2. Irs ez form You are a truck driver. Irs ez form You leave your terminal and return to it later the same day. Irs ez form You get an hour off at your turnaround point to eat. Irs ez form Because you are not off to get necessary sleep and the brief time off is not an adequate rest period, you are not traveling away from home. Irs ez form Members of the Armed Forces. Irs ez form   If you are a member of the U. Irs ez form S. Irs ez form Armed Forces on a permanent duty assignment overseas, you are not traveling away from home. Irs ez form You cannot deduct your expenses for meals and lodging. Irs ez form You cannot deduct these expenses even if you have to maintain a home in the United States for your family members who are not allowed to accompany you overseas. Irs ez form If you are transferred from one permanent duty station to another, you may have deductible moving expenses, which are explained in Publication 521, Moving Expenses. Irs ez form   A naval officer assigned to permanent duty aboard a ship that has regular eating and living facilities has a tax home (explained next) aboard the ship for travel expense purposes. Irs ez form Tax Home To determine whether you are traveling away from home, you must first determine the location of your tax home. Irs ez form Generally, your tax home is your regular place of business or post of duty, regardless of where you maintain your family home. Irs ez form It includes the entire city or general area in which your business or work is located. Irs ez form If you have more than one regular place of business, your tax home is your main place of business. Irs ez form See Main place of business or work , later. Irs ez form If you do not have a regular or a main place of business because of the nature of your work, then your tax home may be the place where you regularly live. Irs ez form See No main place of business or work , later. Irs ez form If you do not have a regular or main place of business or post of duty and there is no place where you regularly live, you are considered an itinerant (a transient) and your tax home is wherever you work. Irs ez form As an itinerant, you cannot claim a travel expense deduction because you are never considered to be traveling away from home. Irs ez form Main place of business or work. Irs ez form   If you have more than one place of work, consider the following when determining which one is your main place of business or work. Irs ez form The total time you ordinarily spend in each place. Irs ez form The level of your business activity in each place. Irs ez form Whether your income from each place is significant or insignificant. Irs ez form Example. Irs ez form You live in Cincinnati where you have a seasonal job for 8 months each year and earn $40,000. Irs ez form You work the other 4 months in Miami, also at a seasonal job, and earn $15,000. Irs ez form Cincinnati is your main place of work because you spend most of your time there and earn most of your income there. Irs ez form No main place of business or work. Irs ez form   You may have a tax home even if you do not have a regular or main place of work. Irs ez form Your tax home may be the home where you regularly live. Irs ez form Factors used to determine tax home. Irs ez form   If you do not have a regular or main place of business or work, use the following three factors to determine where your tax home is. Irs ez form You perform part of your business in the area of your main home and use that home for lodging while doing business in the area. Irs ez form You have living expenses at your main home that you duplicate because your business requires you to be away from that home. Irs ez form You have not abandoned the area in which both your historical place of lodging and your claimed main home are located; you have a member or members of your family living at your main home; or you often use that home for lodging. Irs ez form   If you satisfy all three factors, your tax home is the home where you regularly live. Irs ez form If you satisfy only two factors, you may have a tax home depending on all the facts and circumstances. Irs ez form If you satisfy only one factor, you are an itinerant; your tax home is wherever you work and you cannot deduct travel expenses. Irs ez form Example 1. Irs ez form You are single and live in Boston in an apartment you rent. Irs ez form You have worked for your employer in Boston for a number of years. Irs ez form Your employer enrolls you in a 12-month executive training program. Irs ez form You do not expect to return to work in Boston after you complete your training. Irs ez form During your training, you do not do any work in Boston. Irs ez form Instead, you receive classroom and on-the-job training throughout the United States. Irs ez form You keep your apartment in Boston and return to it frequently. Irs ez form You use your apartment to conduct your personal business. Irs ez form You also keep up your community contacts in Boston. Irs ez form When you complete your training, you are transferred to Los Angeles. Irs ez form You do not satisfy factor (1) because you did not work in Boston. Irs ez form You satisfy factor (2) because you had duplicate living expenses. Irs ez form You also satisfy factor (3) because you did not abandon your apartment in Boston as your main home, you kept your community contacts, and you frequently returned to live in your apartment. Irs ez form Therefore, you have a tax home in Boston. Irs ez form Example 2. Irs ez form You are an outside salesperson with a sales territory covering several states. Irs ez form Your employer's main office is in Newark, but you do not conduct any business there. Irs ez form Your work assignments are temporary, and you have no way of knowing where your future assignments will be located. Irs ez form You have a room in your married sister's house in Dayton. Irs ez form You stay there for one or two weekends a year, but you do no work in the area. Irs ez form You do not pay your sister for the use of the room. Irs ez form You do not satisfy any of the three factors listed earlier. Irs ez form You are an itinerant and have no tax home. Irs ez form Tax Home Different From Family Home If you (and your family) do not live at your tax home (defined earlier), you cannot deduct the cost of traveling between your tax home and your family home. Irs ez form You also cannot deduct the cost of meals and lodging while at your tax home. Irs ez form See Example 1 , later. Irs ez form If you are working temporarily in the same city where you and your family live, you may be considered as traveling away from home. Irs ez form See Example 2 , later. Irs ez form Example 1. Irs ez form You are a truck driver and you and your family live in Tucson. Irs ez form You are employed by a trucking firm that has its terminal in Phoenix. Irs ez form At the end of your long runs, you return to your home terminal in Phoenix and spend one night there before returning home. Irs ez form You cannot deduct any expenses you have for meals and lodging in Phoenix or the cost of traveling from Phoenix to Tucson. Irs ez form This is because Phoenix is your tax home. Irs ez form Example 2. Irs ez form Your family home is in Pittsburgh, where you work 12 weeks a year. Irs ez form The rest of the year you work for the same employer in Baltimore. Irs ez form In Baltimore, you eat in restaurants and sleep in a rooming house. Irs ez form Your salary is the same whether you are in Pittsburgh or Baltimore. Irs ez form Because you spend most of your working time and earn most of your salary in Baltimore, that city is your tax home. Irs ez form You cannot deduct any expenses you have for meals and lodging there. Irs ez form However, when you return to work in Pittsburgh, you are away from your tax home even though you stay at your family home. Irs ez form You can deduct the cost of your round trip between Baltimore and Pittsburgh. Irs ez form You can also deduct your part of your family's living expenses for meals and lodging while you are living and working in Pittsburgh. Irs ez form Temporary Assignment or Job You may regularly work at your tax home and also work at another location. Irs ez form It may not be practical to return to your tax home from this other location at the end of each work day. Irs ez form Temporary assignment vs. Irs ez form indefinite assignment. Irs ez form   If your assignment or job away from your main place of work is temporary, your tax home does not change. Irs ez form You are considered to be away from home for the whole period you are away from your main place of work. Irs ez form You can deduct your travel expenses if they otherwise qualify for deduction. Irs ez form Generally, a temporary assignment in a single location is one that is realistically expected to last (and does in fact last) for 1 year or less. Irs ez form    However, if your assignment or job is indefinite, the location of the assignment or job becomes your new tax home and you cannot deduct your travel expenses while there. Irs ez form An assignment or job in a single location is considered indefinite if it is realistically expected to last for more than 1 year, whether or not it actually lasts for more than 1 year. Irs ez form   If your assignment is indefinite, you must include in your income any amounts you receive from your employer for living expenses, even if they are called travel allowances and you account to your employer for them. Irs ez form You may be able to deduct the cost of relocating to your new tax home as a moving expense. Irs ez form See Publication 521 for more information. Irs ez form Exception for federal crime investigations or prosecutions. Irs ez form   If you are a federal employee participating in a federal crime investigation or prosecution, you are not subject to the 1-year rule. Irs ez form This means you may be able to deduct travel expenses even if you are away from your tax home for more than 1 year provided you meet the other requirements for deductibility. Irs ez form   For you to qualify, the Attorney General (or his or her designee) must certify that you are traveling: For the federal government, In a temporary duty status, and To investigate, prosecute, or provide support services for the investigation or prosecution of a federal crime. Irs ez form Determining temporary or indefinite. Irs ez form   You must determine whether your assignment is temporary or indefinite when you start work. Irs ez form If you expect an assignment or job to last for 1 year or less, it is temporary unless there are facts and circumstances that indicate otherwise. Irs ez form An assignment or job that is initially temporary may become indefinite due to changed circumstances. Irs ez form A series of assignments to the same location, all for short periods but that together cover a long period, may be considered an indefinite assignment. Irs ez form   The following examples illustrate whether an assignment or job is temporary or indefinite. Irs ez form Example 1. Irs ez form You are a construction worker. Irs ez form You live and regularly work in Los Angeles. Irs ez form You are a member of a trade union in Los Angeles that helps you get work in the Los Angeles area. Irs ez form Your tax home is Los Angeles. Irs ez form Because of a shortage of work, you took a job on a construction project in Fresno. Irs ez form Your job was scheduled to end in 8 months. Irs ez form The job actually lasted 10 months. Irs ez form You realistically expected the job in Fresno to last 8 months. Irs ez form The job actually did last less than 1 year. Irs ez form The job is temporary and your tax home is still in Los Angeles. Irs ez form Example 2. Irs ez form The facts are the same as in Example 1, except that you realistically expected the work in Fresno to last 18 months. Irs ez form The job actually was completed in 10 months. Irs ez form Your job in Fresno is indefinite because you realistically expected the work to last longer than 1 year, even though it actually lasted less than 1 year. Irs ez form You cannot deduct any travel expenses you had in Fresno because Fresno became your tax home. Irs ez form Example 3. Irs ez form The facts are the same as in Example 1, except that you realistically expected the work in Fresno to last 9 months. Irs ez form After 8 months, however, you were asked to remain for 7 more months (for a total actual stay of 15 months). Irs ez form Initially, you realistically expected the job in Fresno to last for only 9 months. Irs ez form However, due to changed circumstances occurring after 8 months, it was no longer realistic for you to expect that the job in Fresno would last for 1 year or less. Irs ez form You can only deduct your travel expenses for the first 8 months. Irs ez form You cannot deduct any travel expenses you had after that time because Fresno became your tax home when the job became indefinite. Irs ez form Going home on days off. Irs ez form   If you go back to your tax home from a temporary assignment on your days off, you are not considered away from home while you are in your hometown. Irs ez form You cannot deduct the cost of your meals and lodging there. Irs ez form However, you can deduct your travel expenses, including meals and lodging, while traveling between your temporary place of work and your tax home. Irs ez form You can claim these expenses up to the amount it would have cost you to stay at your temporary place of work. Irs ez form   If you keep your hotel room during your visit home, you can deduct the cost of your hotel room. Irs ez form In addition, you can deduct your expenses of returning home up to the amount you would have spent for meals had you stayed at your temporary place of work. Irs ez form Probationary work period. Irs ez form   If you take a job that requires you to move, with the understanding that you will keep the job if your work is satisfactory during a probationary period, the job is indefinite. Irs ez form You cannot deduct any of your expenses for meals and lodging during the probationary period. Irs ez form What Travel Expenses Are Deductible? Once you have determined that you are traveling away from your tax home, you can determine what travel expenses are deductible. Irs ez form You can deduct ordinary and necessary expenses you have when you travel away from home on business. Irs ez form The type of expense you can deduct depends on the facts and your circumstances. Irs ez form Table 1-1 summarizes travel expenses you may be able to deduct. Irs ez form You may have other deductible travel expenses that are not covered there, depending on the facts and your circumstances. Irs ez form When you travel away from home on business, you should keep records of all the expenses you have and any advances you receive from your employer. Irs ez form You can use a log, diary, notebook, or any other written record to keep track of your expenses. Irs ez form The types of expenses you need to record, along with supporting documentation, are described in Table 5-1 (see chapter 5). Irs ez form Separating costs. Irs ez form   If you have one expense that includes the costs of meals, entertainment, and other services (such as lodging or transportation), you must allocate that expense between the cost of meals and entertainment and the cost of other services. Irs ez form You must have a reasonable basis for making this allocation. Irs ez form For example, you must allocate your expenses if a hotel includes one or more meals in its room charge. Irs ez form Travel expenses for another individual. Irs ez form    If a spouse, dependent, or other individual goes with you (or your employee) on a business trip or to a business convention, you generally cannot deduct his or her travel expenses. Irs ez form Employee. Irs ez form   You can deduct the travel expenses of someone who goes with you if that person: Is your employee, Has a bona fide business purpose for the travel, and Would otherwise be allowed to deduct the travel expenses. Irs ez form Business associate. Irs ez form   If a business associate travels with you and meets the conditions in (2) and (3), earlier, you can deduct the travel expenses you have for that person. Irs ez form A business associate is someone with whom you could reasonably expect to actively conduct business. Irs ez form A business associate can be a current or prospective (likely to become) customer, client, supplier, employee, agent, partner, or professional advisor. Irs ez form Bona fide business purpose. Irs ez form   A bona fide business purpose exists if you can prove a real business purpose for the individual's presence. Irs ez form Incidental services, such as typing notes or assisting in entertaining customers, are not enough to make the expenses deductible. Irs ez form Table 1-1. Irs ez form Travel Expenses You Can Deduct   This chart summarizes expenses you can deduct when you travel away from home for business purposes. Irs ez form IF you have expenses for. Irs ez form . Irs ez form . Irs ez form THEN you can deduct the cost of. Irs ez form . Irs ez form . Irs ez form transportation travel by airplane, train, bus, or car between your home and your business destination. Irs ez form If you were provided with a free ticket or you are riding free as a result of a frequent traveler or similar program, your cost is zero. Irs ez form If you travel by ship, see Luxury Water Travel and Cruise Ships (under Conventions) for additional rules and limits. Irs ez form taxi, commuter bus, and airport limousine fares for these and other types of transportation that take you between: The airport or station and your hotel, and The hotel and the work location of your customers or clients, your business meeting place, or your temporary work location. Irs ez form baggage and shipping sending baggage and sample or display material between your regular and temporary work locations. Irs ez form car operating and maintaining your car when traveling away from home on business. Irs ez form You can deduct actual expenses or the standard mileage rate, as well as business-related tolls and parking. Irs ez form If you rent a car while away from home on business, you can deduct only the business-use portion of the expenses. Irs ez form lodging and meals your lodging and meals if your business trip is overnight or long enough that you need to stop for sleep or rest to properly perform your duties. Irs ez form Meals include amounts spent for food, beverages, taxes, and related tips. Irs ez form See Meals for additional rules and limits. Irs ez form cleaning dry cleaning and laundry. Irs ez form telephone business calls while on your business trip. Irs ez form This includes business communication by fax machine or other communication devices. Irs ez form tips tips you pay for any expenses in this chart. Irs ez form other other similar ordinary and necessary expenses related to your business travel. Irs ez form These expenses might include transportation to or from a business meal, public stenographer's fees, computer rental fees, and operating and maintaining a house trailer. Irs ez form Example. Irs ez form Jerry drives to Chicago on business and takes his wife, Linda, with him. Irs ez form Linda is not Jerry's employee. Irs ez form Linda occasionally types notes, performs similar services, and accompanies Jerry to luncheons and dinners. Irs ez form The performance of these services does not establish that her presence on the trip is necessary to the conduct of Jerry's business. Irs ez form Her expenses are not deductible. Irs ez form Jerry pays $199 a day for a double room. Irs ez form A single room costs $149 a day. Irs ez form He can deduct the total cost of driving his car to and from Chicago, but only $149 a day for his hotel room. Irs ez form If he uses public transportation, he can deduct only his fare. Irs ez form Meals You can deduct the cost of meals in either of the following situations. Irs ez form It is necessary for you to stop for substantial sleep or rest to properly perform your duties while traveling away from home on business. Irs ez form The meal is business-related entertainment. Irs ez form Business-related entertainment is discussed in chapter 2 . Irs ez form The following discussion deals only with meals that are not business-related entertainment. Irs ez form Lavish or extravagant. Irs ez form   You cannot deduct expenses for meals that are lavish or extravagant. Irs ez form An expense is not considered lavish or extravagant if it is reasonable based on the facts and circumstances. Irs ez form Expenses will not be disallowed merely because they are more than a fixed dollar amount or take place at deluxe restaurants, hotels, nightclubs, or resorts. Irs ez form 50% limit on meals. Irs ez form   You can figure your meals expense using either of the following methods. Irs ez form Actual cost. Irs ez form The standard meal allowance. Irs ez form Both of these methods are explained below. Irs ez form But, regardless of the method you use, you generally can deduct only 50% of the unreimbursed cost of your meals. Irs ez form   If you are reimbursed for the cost of your meals, how you apply the 50% limit depends on whether your employer's reimbursement plan was accountable or nonaccountable. Irs ez form If you are not reimbursed, the 50% limit applies whether the unreimbursed meal expense is for business travel or business entertainment. Irs ez form Chapter 2 discusses the 50% Limit in more detail, and chapter 6 discusses accountable and nonaccountable plans. Irs ez form Actual Cost You can use the actual cost of your meals to figure the amount of your expense before reimbursement and application of the 50% deduction limit. Irs ez form If you use this method, you must keep records of your actual cost. Irs ez form Standard Meal Allowance Generally, you can use the “standard meal allowance” method as an alternative to the actual cost method. Irs ez form It allows you to use a set amount for your daily meals and incidental expenses (M&IE), instead of keeping records of your actual costs. Irs ez form The set amount varies depending on where and when you travel. Irs ez form In this publication, “standard meal allowance” refers to the federal rate for M&IE, discussed later under Amount of standard meal allowance . Irs ez form If you use the standard meal allowance, you still must keep records to prove the time, place, and business purpose of your travel. Irs ez form See the recordkeeping rules for travel in chapter 5 . Irs ez form Incidental expenses. Irs ez form   The term “incidental expenses” means fees and tips given to porters, baggage carriers, hotel staff, and staff on ships. Irs ez form   Incidental expenses do not include expenses for laundry, cleaning and pressing of clothing, lodging taxes, costs of telegrams or telephone calls, transportation between places of lodging or business and places where meals are taken, or the mailing cost of filing travel vouchers and paying employer-sponsored charge card billings. Irs ez form Incidental-expenses-only method. Irs ez form   You can use an optional method (instead of actual cost) for deducting incidental expenses only. Irs ez form The amount of the deduction is $5 a day. Irs ez form You can use this method only if you did not pay or incur any meal expenses. Irs ez form You cannot use this method on any day that you use the standard meal allowance. Irs ez form This method is subject to the proration rules for partial days. Irs ez form See Travel for days you depart and return , later in this chapter. Irs ez form Note. Irs ez form The incidental-expenses-only method is not subject to the 50% limit discussed below. Irs ez form Federal employees should refer to the Federal Travel Regulations at www. Irs ez form gsa. Irs ez form gov. Irs ez form Find the “Most Requested Links” on the upper left and click on “Regulations: FAR, FMR, FTR” for Federal Travel Regulation (FTR) for changes affecting claims for reimbursement. Irs ez form 50% limit may apply. Irs ez form   If you use the standard meal allowance method for meal expenses and you are not reimbursed or you are reimbursed under a nonaccountable plan, you can generally deduct only 50% of the standard meal allowance. Irs ez form If you are reimbursed under an accountable plan and you are deducting amounts that are more than your reimbursements, you can deduct only 50% of the excess amount. Irs ez form The 50% limit is discussed in more detail in chapter 2, and accountable and nonaccountable plans are discussed in chapter 6. Irs ez form There is no optional standard lodging amount similar to the standard meal allowance. Irs ez form Your allowable lodging expense deduction is your actual cost. Irs ez form Who can use the standard meal allowance. Irs ez form   You can use the standard meal allowance whether you are an employee or self-employed, and whether or not you are reimbursed for your traveling expenses. Irs ez form Use of the standard meal allowance for other travel. Irs ez form   You can use the standard meal allowance to figure your meal expenses when you travel in connection with investment and other income-producing property. Irs ez form You can also use it to figure your meal expenses when you travel for qualifying educational purposes. Irs ez form You cannot use the standard meal allowance to figure the cost of your meals when you travel for medical or charitable purposes. Irs ez form Amount of standard meal allowance. Irs ez form   The standard meal allowance is the federal M&IE rate. Irs ez form For travel in 2013, the rate for most small localities in the United States is $46 a day. Irs ez form    Most major cities and many other localities in the United States are designated as high-cost areas, qualifying for higher standard meal allowances. Irs ez form    You can find this information (organized by state) on the Internet at www. Irs ez form gsa. Irs ez form gov/perdiem. Irs ez form Enter a zip code or select a city and state for the per diem rates for the current fiscal year. Irs ez form Per diem rates for prior fiscal years are available by using the drop down menu under “Search by State. Irs ez form ”   Per diem rates are listed by the Federal government's fiscal year which runs from October 1 to September 30. Irs ez form You can choose to use the rates from the 2013 fiscal year per diem tables or the rates from the 2014 fiscal year tables, but you must consistently use the same tables for all travel you are reporting on your income tax return for the year. Irs ez form   If you travel to more than one location in one day, use the rate in effect for the area where you stop for sleep or rest. Irs ez form If you work in the transportation industry, however, see Special rate for transportation workers , later. Irs ez form Standard meal allowance for areas outside the continental United States. Irs ez form   The standard meal allowance rates above do not apply to travel in Alaska, Hawaii, or any other location outside the continental United States. Irs ez form The Department of Defense establishes per diem rates for Alaska, Hawaii, Puerto Rico, American Samoa, Guam, Midway, the Northern Mariana Islands, the U. Irs ez form S. Irs ez form Virgin Islands, Wake Island, and other non-foreign areas outside the continental United States. Irs ez form The Department of State establishes per diem rates for all other foreign areas. Irs ez form    You can access per diem rates for non-foreign areas outside the continental United States at: www. Irs ez form defensetravel. Irs ez form dod. Irs ez form mil/site/perdiemCalc. Irs ez form cfm. Irs ez form You can access all other foreign per diem rates at: www. Irs ez form state. Irs ez form gov/travel/. Irs ez form Click on “Travel Per Diem Allowances for Foreign Areas,” under “Foreign Per Diem Rates” to obtain the latest foreign per diem rates. Irs ez form Special rate for transportation workers. Irs ez form   You can use a special standard meal allowance if you work in the transportation industry. Irs ez form You are in the transportation industry if your work: Directly involves moving people or goods by airplane, barge, bus, ship, train, or truck, and Regularly requires you to travel away from home and, during any single trip, usually involves travel to areas eligible for different standard meal allowance rates. Irs ez form If this applies to you, you can claim a standard meal allowance of $59 a day ($65 for travel outside the continental United States). Irs ez form   Using the special rate for transportation workers eliminates the need for you to determine the standard meal allowance for every area where you stop for sleep or rest. Irs ez form If you choose to use the special rate for any trip, you must use the special rate (and not use the regular standard meal allowance rates) for all trips you take that year. Irs ez form Travel for days you depart and return. Irs ez form   For both the day you depart for and the day you return from a business trip, you must prorate the standard meal allowance (figure a reduced amount for each day). Irs ez form You can do so by one of two methods. Irs ez form Method 1: You can claim 3/4 of the standard meal allowance. Irs ez form Method 2: You can prorate using any method that you consistently apply and that is in accordance with reasonable business practice. Irs ez form Example. Irs ez form Jen is employed in New Orleans as a convention planner. Irs ez form In March, her employer sent her on a 3-day trip to Washington, DC, to attend a planning seminar. Irs ez form She left her home in New Orleans at 10 a. Irs ez form m. Irs ez form on Wednesday and arrived in Washington, DC, at 5:30 p. Irs ez form m. Irs ez form After spending two nights there, she flew back to New Orleans on Friday and arrived back home at 8:00 p. Irs ez form m. Irs ez form Jen's employer gave her a flat amount to cover her expenses and included it with her wages. Irs ez form Under Method 1, Jen can claim 2½ days of the standard meal allowance for Washington, DC: 3/4 of the daily rate for Wednesday and Friday (the days she departed and returned), and the full daily rate for Thursday. Irs ez form Under Method 2, Jen could also use any method that she applies consistently and that is in accordance with reasonable business practice. Irs ez form For example, she could claim 3 days of the standard meal allowance even though a federal employee would have to use Method 1 and be limited to only 2½ days. Irs ez form Travel in the United States The following discussion applies to travel in the United States. Irs ez form For this purpose, the United States includes the 50 states and the District of Columbia. Irs ez form The treatment of your travel expenses depends on how much of your trip was business related and on how much of your trip occurred within the United States. Irs ez form See Part of Trip Outside the United States , later. Irs ez form Trip Primarily for Business You can deduct all of your travel expenses if your trip was entirely business related. Irs ez form If your trip was primarily for business and, while at your business destination, you extended your stay for a vacation, made a personal side trip, or had other personal activities, you can deduct only your business-related travel expenses. Irs ez form These expenses include the travel costs of getting to and from your business destination and any business-related expenses at your business destination. Irs ez form Example. Irs ez form You work in Atlanta and take a business trip to New Orleans in May. Irs ez form Your business travel totals 850 miles round trip. Irs ez form On your way, you stop in Mobile to visit your parents. Irs ez form You spend $2,120 for the 9 days you are away from home for travel, meals, lodging, and other travel expenses. Irs ez form If you had not stopped in Mobile, you would have been gone only 6 days, and your total cost would have been $1,820. Irs ez form You can deduct $1,820 for your trip, including the cost of round-trip transportation to and from New Orleans. Irs ez form The deduction for your meals is subject to the 50% limit on meals mentioned earlier. Irs ez form Trip Primarily for Personal Reasons If your trip was primarily for personal reasons, such as a vacation, the entire cost of the trip is a nondeductible personal expense. Irs ez form However, you can deduct any expenses you have while at your destination that are directly related to your business. Irs ez form A trip to a resort or on a cruise ship may be a vacation even if the promoter advertises that it is primarily for business. Irs ez form The scheduling of incidental business activities during a trip, such as viewing videotapes or attending lectures dealing with general subjects, will not change what is really a vacation into a business trip. Irs ez form Part of Trip Outside the United States If part of your trip is outside the United States, use the rules described later in this chapter under Travel Outside the United States for that part of the trip. Irs ez form For the part of your trip that is inside the United States, use the rules for travel in the United States. Irs ez form Travel outside the United States does not include travel from one point in the United States to another point in the United States. Irs ez form The following discussion can help you determine whether your trip was entirely within the United States. Irs ez form Public transportation. Irs ez form   If you travel by public transportation, any place in the United States where that vehicle makes a scheduled stop is a point in the United States. Irs ez form Once the vehicle leaves the last scheduled stop in the United States on its way to a point outside the United States, you apply the rules under Travel Outside the United States . Irs ez form Example. Irs ez form You fly from New York to Puerto Rico with a scheduled stop in Miami. Irs ez form You return to New York nonstop. Irs ez form The flight from New York to Miami is in the United States, so only the flight from Miami to Puerto Rico is outside the United States. Irs ez form Because there are no scheduled stops between Puerto Rico and New York, all of the return trip is outside the United States. Irs ez form Private car. Irs ez form   Travel by private car in the United States is travel between points in the United States, even though you are on your way to a destination outside the United States. Irs ez form Example. Irs ez form You travel by car from Denver to Mexico City and return. Irs ez form Your travel from Denver to the border and from the border back to Denver is travel in the United States, and the rules in this section apply. Irs ez form The rules under Travel Outside the United States apply to your trip from the border to Mexico City and back to the border. Irs ez form Travel Outside the United States If any part of your business travel is outside the United States, some of your deductions for the cost of getting to and from your destination may be limited. Irs ez form For this purpose, the United States includes the 50 states and the District of Columbia. Irs ez form How much of your travel expenses you can deduct depends in part upon how much of your trip outside the United States was business related. Irs ez form Travel Entirely for Business or Considered Entirely for Business You can deduct all your travel expenses of getting to and from your business destination if your trip is entirely for business or considered entirely for business. Irs ez form Travel entirely for business. Irs ez form   If you travel outside the United States and you spend the entire time on business activities, you can deduct all of your travel expenses. Irs ez form Travel considered entirely for business. Irs ez form   Even if you did not spend your entire time on business activities, your trip is considered entirely for business if you meet at least one of the following four exceptions. Irs ez form Exception 1 - No substantial control. Irs ez form   Your trip is considered entirely for business if you did not have substantial control over arranging the trip. Irs ez form The fact that you control the timing of your trip does not, by itself, mean that you have substantial control over arranging your trip. Irs ez form   You do not have substantial control over your trip if you: Are an employee who was reimbursed or paid a travel expense allowance, and Are not related to your employer, or Are not a managing executive. Irs ez form    “Related to your employer” is defined later in chapter 6 under Per Diem and Car Allowances . Irs ez form   A “managing executive” is an employee who has the authority and responsibility, without being subject to the veto of another, to decide on the need for the business travel. Irs ez form   A self-employed person generally has substantial control over arranging business trips. Irs ez form Exception 2 - Outside United States no more than a week. Irs ez form   Your trip is considered entirely for business if you were outside the United States for a week or less, combining business and nonbusiness activities. Irs ez form One week means 7 consecutive days. Irs ez form In counting the days, do not count the day you leave the United States, but do count the day you return to the United States. Irs ez form Example. Irs ez form You traveled to Brussels primarily for business. Irs ez form You left Denver on Tuesday and flew to New York. Irs ez form On Wednesday, you flew from New York to Brussels, arriving the next morning. Irs ez form On Thursday and Friday, you had business discussions, and from Saturday until Tuesday, you were sightseeing. Irs ez form You flew back to New York, arriving Wednesday afternoon. Irs ez form On Thursday, you flew back to Denver. Irs ez form Although you were away from your home in Denver for more than a week, you were not outside the United States for more than a week. Irs ez form This is because the day you depart does not count as a day outside the United States. Irs ez form You can deduct your cost of the round-trip flight between Denver and Brussels. Irs ez form You can also deduct the cost of your stay in Brussels for Thursday and Friday while you conducted business. Irs ez form However, you cannot deduct the cost of your stay in Brussels from Saturday through Tuesday because those days were spent on nonbusiness activities. Irs ez form Exception 3 - Less than 25% of time on personal activities. Irs ez form   Your trip is considered entirely for business if: You were outside the United States for more than a week, and You spent less than 25% of the total time you were outside the United States on nonbusiness activities. Irs ez form For this purpose, count both the day your trip began and the day it ended. Irs ez form Example. Irs ez form You flew from Seattle to Tokyo, where you spent 14 days on business and 5 days on personal matters. Irs ez form You then flew back to Seattle. Irs ez form You spent 1 day flying in each direction. Irs ez form Because only 5/21 (less than 25%) of your total time abroad was for nonbusiness activities, you can deduct as travel expenses what it would have cost you to make the trip if you had not engaged in any nonbusiness activity. Irs ez form The amount you can deduct is the cost of the round-trip plane fare and 16 days of meals (subject to the 50% limit), lodging, and other related expenses. Irs ez form Exception 4 - Vacation not a major consideration. Irs ez form   Your trip is considered entirely for business if you can establish that a personal vacation was not a major consideration, even if you have substantial control over arranging the trip. Irs ez form Travel Primarily for Business If you travel outside the United States primarily for business but spend some of your time on other activities, you generally cannot deduct all of your travel expenses. Irs ez form You can only deduct the business portion of your cost of getting to and from your destination. Irs ez form You must allocate the costs between your business and other activities to determine your deductible amount. Irs ez form See Travel allocation rules , later. Irs ez form You do not have to allocate your travel expenses if you meet one of the four exceptions listed earlier under Travel considered entirely for business . Irs ez form In those cases, you can deduct the total cost of getting to and from your destination. Irs ez form Travel allocation rules. Irs ez form   If your trip outside the United States was primarily for business, you must allocate your travel time on a day-to-day basis between business days and nonbusiness days. Irs ez form The days you depart from and return to the United States are both counted as days outside the United States. Irs ez form   To figure the deductible amount of your round-trip travel expenses, use the following fraction. Irs ez form The numerator (top number) is the total number of business days outside the United States. Irs ez form The denominator (bottom number) is the total number of business and nonbusiness days of travel. Irs ez form Counting business days. Irs ez form   Your business days include transportation days, days your presence was required, days you spent on business, and certain weekends and holidays. Irs ez form Transportation day. Irs ez form   Count as a business day any day you spend traveling to or from a business destination. Irs ez form However, if because of a nonbusiness activity you do not travel by a direct route, your business days are the days it would take you to travel a reasonably direct route to your business destination. Irs ez form Extra days for side trips or nonbusiness activities cannot be counted as business days. Irs ez form Presence required. Irs ez form   Count as a business day any day your presence is required at a particular place for a specific business purpose. Irs ez form Count it as a business day even if you spend most of the day on nonbusiness activities. Irs ez form Day spent on business. Irs ez form   If your principal activity during working hours is the pursuit of your trade or business, count the day as a business day. Irs ez form Also, count as a business day any day you are prevented from working because of circumstances beyond your control. Irs ez form Certain weekends and holidays. Irs ez form   Count weekends, holidays, and other necessary standby days as business days if they fall between business days. Irs ez form But if they follow your business meetings or activity and you remain at your business destination for nonbusiness or personal reasons, do not count them as business days. Irs ez form Example 1. Irs ez form Your tax home is New York City. Irs ez form You travel to Quebec, where you have a business appointment on Friday. Irs ez form You have another appointment on the following Monday. Irs ez form Because your presence was required on both Friday and Monday, they are business days. Irs ez form Because the weekend is between business days, Saturday and Sunday are counted as business days. Irs ez form This is true even though you use the weekend for sightseeing, visiting friends, or other nonbusiness activity. Irs ez form Example 2. Irs ez form If, in Example 1, you had no business in Quebec after Friday, but stayed until Monday before starting home, Saturday and Sunday would be nonbusiness days. Irs ez form Nonbusiness activity on the way to or from your business destination. Irs ez form   If you stopped for a vacation or other nonbusiness activity either on the way from the United States to your business destination, or on the way back to the United States from your business destination, you must allocate part of your travel expenses to the nonbusiness activity. Irs ez form   The part you must allocate is the amount it would have cost you to travel between the point where travel outside the United States begins and your nonbusiness destination and a return to the point where travel outside the United States ends. Irs ez form   You determine the nonbusiness portion of that expense by multiplying it by a fraction. Irs ez form The numerator (top number) of the fraction is the number of nonbusiness days during your travel outside the United States and the denominator (bottom number) is the total number of days you spend outside the United States. Irs ez form Example. Irs ez form You live in New York. Irs ez form On May 4 you flew to Paris to attend a business conference that began on May 5. Irs ez form The conference ended at noon on May 14. Irs ez form That evening you flew to Dublin where you visited with friends until the afternoon of May 21, when you flew directly home to New York. Irs ez form The primary purpose for the trip was to attend the conference. Irs ez form If you had not stopped in Dublin, you would have arrived home the evening of May 14. Irs ez form You do not meet any of the exceptions that would allow you to consider your travel entirely for business. Irs ez form May 4 through May 14 (11 days) are business days and May 15 through May 21 (7 days) are nonbusiness days. Irs ez form You can deduct the cost of your meals (subject to the 50% limit), lodging, and other business-related travel expenses while in Paris. Irs ez form You cannot deduct your expenses while in Dublin. Irs ez form You also cannot deduct 7/18 of what it would have cost you to travel round-trip between New York and Dublin. Irs ez form You paid $750 to fly from New York to Paris, $400 to fly from Paris to Dublin, and $700 to fly from Dublin back to New York. Irs ez form Round-trip airfare from New York to Dublin would have been $1,250. Irs ez form You figure the deductible part of your air travel expenses by subtracting 7/18 of the round-trip fare and other expenses you would have had in traveling directly between New York and Dublin ($1,250 × 7/18 = $486) from your total expenses in traveling from New York to Paris to Dublin and back to New York ($750 + $400 + $700 = $1,850). Irs ez form Your deductible air travel expense is $1,364 ($1,850 − $486). Irs ez form Nonbusiness activity at, near, or beyond business destination. Irs ez form   If you had a vacation or other nonbusiness activity at, near, or beyond your business destination, you must allocate part of your travel expenses to the nonbusiness activity. Irs ez form   The part you must allocate is the amount it would have cost you to travel between the point where travel outside the United States begins and your business destination and a return to the point where travel outside the United States ends. Irs ez form   You determine the nonbusiness portion of that expense by multiplying it by a fraction. Irs ez form The numerator (top number) of the fraction is the number of nonbusiness days during your travel outside the United States and the denominator (bottom number) is the total number of days you spend outside the United States. Irs ez form   None of your travel expenses for nonbusiness activities at, near, or beyond your business destination are deductible. Irs ez form Example. Irs ez form Assume that the dates are the same as in the previous example but that instead of going to Dublin for your vacation, you fly to Venice, Italy, for a vacation. Irs ez form You cannot deduct any part of the cost of your trip from Paris to Venice and return to Paris. Irs ez form In addition, you cannot deduct 7/18 of the airfare and other expenses from New York to Paris and back to New York. Irs ez form You can deduct 11/18 of the round-trip plane fare and other travel expenses from New York to Paris, plus your meals (subject to the 50% limit), lodging, and any other business expenses you had in Paris. Irs ez form (Assume these expenses total $4,939. Irs ez form ) If the round-trip plane fare and other travel-related expenses (such as food during the trip) are $1,750, you can deduct travel costs of $1,069 (11/18 × $1,750), plus the full $4,939 for the expenses you had in Paris. Irs ez form Other methods. Irs ez form   You can use another method of counting business days if you establish that it more clearly reflects the time spent on other than business activities outside the United States. Irs ez form Travel Primarily for Personal Reasons If you travel outside the United States primarily for vacation or for investment purposes, the entire cost of the trip is a nondeductible personal expense. Irs ez form However, if you spend some time attending brief professional seminars or a continuing education program, you can deduct your registration fees and other expenses you have that are directly related to your business. Irs ez form Example. Irs ez form The university from which you graduated has a continuing education program for members of its alumni association. Irs ez form This program consists of trips to various foreign countries where academic exercises and conferences are set up to acquaint individuals in most occupations with selected facilities in several regions of the world. Irs ez form However, none of the conferences are directed toward specific occupations or professions. Irs ez form It is up to each participant to seek out specialists and organizational settings appropriate to his or her occupational interests. Irs ez form Three-hour sessions are held each day over a 5-day period at each of the selected overseas facilities where participants can meet with individual practitioners. Irs ez form These sessions are composed of a variety of activities including workshops, mini-lectures, role playing, skill development, and exercises. Irs ez form Professional conference directors schedule and conduct the sessions. Irs ez form Participants can choose those sessions they wish to attend. Irs ez form You can participate in this program since you are a member of the alumni association. Irs ez form You and your family take one of the trips. Irs ez form You spend about 2 hours at each of the planned sessions. Irs ez form The rest of the time you go touring and sightseeing with your family. Irs ez form The trip lasts less than 1 week. Irs ez form Your travel expenses for the trip are not deductible since the trip was primarily a vacation. Irs ez form However, registration fees and any other incidental expenses you have for the five planned sessions you attended that are directly related and beneficial to your business are deductible business expenses. Irs ez form These expenses should be specifically stated in your records to ensure proper allocation of your deductible business expenses. Irs ez form Luxury Water Travel If you travel by ocean liner, cruise ship, or other form of luxury water transportation for business purposes, there is a daily limit on the amount you can deduct. Irs ez form The limit is twice the highest federal per diem rate allowable at the time of your travel. Irs ez form (Generally, the federal per diem is the amount paid to federal government employees for daily living expenses when they travel away from home, but in the United States, for business purposes. Irs ez form ) Daily limit on luxury water travel. Irs ez form   The highest federal per diem rate allowed and the daily limit for luxury water travel in 2013 is shown in the following table. Irs ez form   2013 Dates Highest Federal Per Diem Daily Limit on Luxury Water Travel   Jan. Irs ez form 1 – Mar. Irs ez form 31 $367 $734   Apr. Irs ez form 1 – June 30 312 624   July 1 – Aug. Irs ez form 31 310 620   Sept. Irs ez form 1 – Sept. Irs ez form 30 366 732   Oct. Irs ez form 1 – Dec. Irs ez form 31 374 748 Example. Irs ez form Caroline, a travel agent, traveled by ocean liner from New York to London, England, on business in May. Irs ez form Her expense for the 6-day cruise was $5,200. Irs ez form Caroline's deduction for the cruise cannot exceed $3,744 (6 days × $624 daily limit). Irs ez form Meals and entertainment. Irs ez form   If your expenses for luxury water travel include separately stated amounts for meals or entertainment, those amounts are subject to the 50% limit on meals and entertainment before you apply the daily limit. Irs ez form For a discussion of the 50% Limit , see chapter 2. Irs ez form Example. Irs ez form In the previous example, Caroline's luxury water travel had a total cost of $5,200. Irs ez form Of that amount, $3,700 was separately stated as meals and entertainment. Irs ez form Caroline, who is self-employed, is not reimbursed for any of her travel expenses. Irs ez form Caroline figures her deductible travel expenses as follows. Irs ez form Meals and entertainment $3,700   50% limit × . Irs ez form 50   Allowable meals &     entertainment $1,850   Other travel expenses + 1,800   Allowable cost before the daily limit $3,650 Daily limit for May 2013 $624   Times number of days × 6   Maximum luxury water travel     deduction $3,744 Amount of allowable deduction $3,650 Caroline's deduction for her cruise is limited to $3,650, even though the limit on luxury water travel is slightly higher. Irs ez form Not separately stated. Irs ez form   If your meal or entertainment charges are not separately stated or are not clearly identifiable, you do not have to allocate any portion of the total charge to meals or entertainment. Irs ez form Exceptions The daily limit on luxury water travel (discussed earlier) does not apply to expenses you have to attend a convention, seminar, or meeting on board a cruise ship. Irs ez form See Cruise Ships under Conventions. Irs ez form Conventions You can deduct your travel expenses when you attend a convention if you can show that your attendance benefits your trade or business. Irs ez form You cannot deduct the travel expenses for your family. Irs ez form If the convention is for investment, political, social, or other purposes unrelated to your trade or business, you cannot deduct the expenses. Irs ez form Your appointment or election as a delegate does not, in itself, determine whether you can deduct travel expenses. Irs ez form You can deduct your travel expenses only if your attendance is connected to your own trade or business. Irs ez form Convention agenda. Irs ez form   The convention agenda or program generally shows the purpose of the convention. Irs ez form You can show your attendance at the convention benefits your trade or business by comparing the agenda with the official duties and responsibilities of your position. Irs ez form The agenda does not have to deal specifically with your official duties and responsibilities; it will be enough if the agenda is so related to your position that it shows your attendance was for business purposes. Irs ez form Conventions Held Outside the North American Area You cannot deduct expenses for attending a convention, seminar, or similar meeting held outside the North American area unless: The meeting is directly related to your trade or business, and It is reasonable to hold the meeting outside the North American area. Irs ez form See Reasonableness test , later. Irs ez form If the meeting meets these requirements, you also must satisfy the rules for deducting expenses for business trips in general, discussed earlier under Travel Outside the United States . Irs ez form North American area. Irs ez form   The North American area includes the following locations. Irs ez form American Samoa Johnston Island Antigua and Barbuda Kingman Reef Aruba Marshall Islands Bahamas Mexico Baker Island Micronesia Barbados Midway Islands Bermuda Netherlands Antilles Canada Northern Mariana Costa Rica Islands Dominica Palau Dominican Republic Palmyra Atoll Grenada Panama Guam Puerto Rico Guyana Trinidad and Tobago Honduras USA Howland Island U. Irs ez form S. Irs ez form Virgin Islands Jamaica Wake Island Jarvis Island   The North American area also includes U. Irs ez form S. Irs ez form islands, cays, and reefs that are possessions of the United States and not part of the fifty states or the District of Columbia. Irs ez form Reasonableness test. Irs ez form   The following factors are taken into account to determine if it was reasonable to hold the meeting outside the North American area. Irs ez form The purpose of the meeting and the activities taking place at the meeting. Irs ez form The purposes and activities of the sponsoring organizations or groups. Irs ez form The homes of the active members of the sponsoring organizations and the places at which other meetings of the sponsoring organizations or groups have been or will be held. Irs ez form Other relevant factors you may present. Irs ez form Cruise Ships You can deduct up to $2,000 per year of your expenses of attending conventions, seminars, or similar meetings held on cruise ships. Irs ez form All ships that sail are considered cruise ships. Irs ez form You can deduct these expenses only if all of the following requirements are met. Irs ez form The convention, seminar, or meeting is directly related to your trade or business. Irs ez form The cruise ship is a vessel registered in the United States. Irs ez form All of the cruise ship's ports of call are in the United States or in possessions of the United States. Irs ez form You attach to your return a written statement signed by you that includes information about: The total days of the trip (not including the days of transportation to and from the cruise ship port), The number of hours each day that you devoted to scheduled business activities, and A program of the scheduled business activities of the meeting. Irs ez form You attach to your return a written statement signed by an officer of the organization or group sponsoring the meeting that includes: A schedule of the business activities of each day of the meeting, and The number of hours you attended the scheduled business activities. Irs ez form Prev  Up  Next   Home   More Online Publications