Business Deductions
- Amortization
- Business Losses and Net Operating Losses
- Car and Truck Expenses
- Day-Care Services
- Depreciating Business Property
- Depreciating Your Car
- Domestic Production Activities Deduction
- Health Insurance Deduction
- Home Office Deduction
- Meal and Entertainment Expenses
- Organizational Costs and Start-up Costs
- Qualified Plan Awards
- Schedule C Expenses
- Section 197 Intangibles
- Should You Sell or Trade in Your Car?
- Start-up Costs
- Travel Expenses
More Tax Topics
- Business Structures
- Hiring Workers
- Retirement
- Top Tax Myths
- Per Diem Rates - IRS Publication 1542 Oct 2011 for Travel Within the Continental U.S (for employers who pay a per diem allowance to employees)
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Need Some Deductions for 2011?
Don't overlook these!
Updated for 2011
Travel Expenses
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Travel By Cruise Ship - 2011
Travel by cruise ship on a business trip is deductible.
The cost is limited to:
- Double the highest federal per diem rate for travel inside the Continental United States (CONUS) X the number of days in transit.
Example:
- You go to Europe
- The highest per diem rate is $366
- It is a 7-day trip
Result:
- Your maximum deduction is $5,124 (2 x $366 x 7).
If meals are included in your bill but not listed as a separate item, then you may apply the double per diem rate to the total amount of the bill. On the other hand, if meals are listed as a separate item, you must reduce the costs for meals by 50%.
The double per diem rule does not apply to cruise ship convention costs that are deductible up to $2,000 a year if...
- all ports of call are in the United States, or
- U.S. Possessions, and
- if the ship is registered in the United States.
Reminder
- Generally, for one-day business trips within the general area of your business (or employment) you can only deduct transportation costs, not the costs of meals.
Next:
Travel Expenses: Business-Vacation Trips Inside the U.S.
Related Links
- Domestic Per Diem Rates
- What Are Travel Expenses?
- Who May Deduct Travel Expenses?
- Items Included in Travel Expenses
- Tax Terms You Need to Know-Ordinary and Necessary Expenses
- Tax Terms You Need to Know-Tax Home Defined
- Tax Terms You Need to Know-Tax Home Example
- Tax Terms You Need to Know-Transient and Away From Home Test
- Personal Expenses
- Expenses of a Spouse, Dependent, or Other Individual
- Entertainment Expenses of Non-Employees
- Entertainment Expenses of Non-Employees-Example
- Employee Travel Expenses
- Employer Error Reporting Travel Expense Reimbursement on Form W-2
- Employee Accountable Plan
- Commuting Costs
- When You May Deduct Commuting Costs
- Temporary Work Locations and Commuting Expenses
- Temporary Work Location-Example
- What if Your Expectations for the Length of Time to Work Changes?
- Professionals Traveling to Clients' Sites
- Business Conventions and Seminars
- Investment Conventions
- Video Tapes Received at a Business Discussion
- IRS Meal Allowance
- If Employer is a Relative
- Daily Meal Allowance Amount
- Travel Expense Records You Must Keep
- Transportation Industry Workers
- Claiming the IRS Meal Allowance
- Business-Vacation Trips Outside the U.S.
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