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Tax considerations of combining business, personal travel

May 22, 2013

It's been one of those days — don't ask, or I'll never stop! — so I'm really looking forward to the upcoming Memorial Day break.


Summer vacation image by digitalart via Free Digital ImagesThe hubby and I aren't going anywhere, but a lot of folks are hitting the road or boarding planes, trains or buses on this traditional beginning of the summer vacation season.

Vacation is the operative word here. When any of us take a pleasure trip, it's totally on our dime.

But if you sometimes combine business and personal travel, your Uncle Sam could help cover some of your on-the-road costs. 

Of course, you must be careful in claiming business expenses when you piggyback a bit of personal time onto the trip. Just how to do this and what to watch out for is the topic of today's Weekly Tax Tip.

The key to getting travel help from the tax code is to make sure that your main reason for travel is work. That way those legitimate expenses, including transportation and lodging and some meals, can be deducted.

Then when you stay a day or two to see the sights, you only have to cover those personal costs out of your own pocket.

So carefully track your trip, detailing the separate business and personal expenses. Good documentation will help you substantiate your legitimate business travel claims just in case an Internal Revenue Service auditor ever has questions.

Now get packing.

And be sure to enjoy a little help from the tax code the next time a trip is for both business and fun!

Summer vacation image by digital art via FreeDigitalImages.net

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The More Tax Posts tab at the top of this page will take you to, well, more tax posts. You also can search below for a tax topic. 

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TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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