To get my complete, FREE article
with all the details…
Do you ever travel out of town for work?
If you do, you probably know that you can deduct a whole lot of expenses when you’re away from home on business.
What you may not know is that the IRS may decide you also have a “tax home” at that travel destination that denies your travel deductions.
Definition: Your tax home is the entire city or area where your main business is located.
By the way, this has nothing to do with where your actual home is located. (The one with the white picket fence.)
Why this matters.
It matters because your tax home determines whether certain valuable business expenses can be legally deducted.
I’m talking about deductions for transportation, meals, and lodging.
This can come to a lot of money!
This scenario should make things clearer.
Let’s say you live in Chicago with your family, but work in Milwaukee.
While you’re there you stay in a hotel and eat in restaurants. You return to the family home on weekends.
In this scenario, you would not be able to deduct those expenses because your tax home is in Milwaukee!
How to protect yourself from tax-home rules complications.
The answer is easy:
- ALWAYS plan on the possibility of an IRS audit
- ALWAYS keep excellent, detailed records
Remember, you’ll save more time keeping accurate records than sitting with the IRS.
To get full details, and learn how to follow all the tax-home rules…