Automobile Expenses Form 2106, C, 1120, 1120S
Form 2
Business Meals and Travel
If you incur expenses for business related meals, travel or
entertainment you may deduct them on your tax return if you
meet certain requirements. Generally, business travel is
fully deductible while business meals and entertainment
are only 50% deductible. Business travel expenses are
those expenses incurred while away from home overnight
on business. Travel expenses include not only the costs of
transportation but also the cost for lodging, telephone,
laundry and other similar expenses related to travel.
Business meals and entertainment expenses are only
deductible if they satisfy the "directly related" or "associated
with" tests. Under these criteria you must have an
expectation of deriving some specific benefit from the
activity. There must be business actually discussed or
engaged in before, during, or following the activity and the
combined business and entertainment was principally
characterized by business.
Form 4
PBS Tax and Accounting, LLC
