As a business owner, you are probably lucky if you take a vacation every year. When you do, you are probably still on the clock, worrying and thinking about your business.
For this reason, you might as well work while you are on vacation and try to deduct some of your expenses as a business trip. Here are some tips to turn your vacation into a business trip.
Tips for Turning Your Vacation into a Business Trip
1. Have appointments set up before you leave. Too many business owners think that, if they talk about their business to at least one person, it counts as a business trip. However, that is simply not going to work. The IRS requires you to have at least one appointment set up before you leave on your trip if you want to consider it a business trip.
2. You also need to make sure that most of the days that you are away are considered business days. As long as a majority of your days are filled with business tasks, you can call the entire vacation a business trip. Even if you take a day or two to relax or spend time enjoying the sites, you can still deduct your expenses for the entire trip.
3. Keep track of all of your on-the-road expenses while you are on vacation. You can deduct one hundred percent of your hotels, tips, and car rentals while you are on a business trip. You can also deduct fifty percent of your food.
However, it is important to know that, while you need to keep track of these, you won’t need to keep any receipts when your expenses are less than seventy-five dollars per expense. This doesn’t apply to your hotel expenses. You need a receipt for all of these.
Contact Us to Turn Your Vacation into Business!
In order to make your vacation a business trip, you need to have some appointments set up before you go. You also need to make sure that most of the days that you are away are business ones. Then, track your expenses so you can deduct as much of them as possible!
Contact us for all of your financial needs.