Are you or your team planning a business trip this summer? Whether it’s for a conference, client meetings, or site visits, you may be able to deduct many of the associated travel expenses—if you follow IRS guidelines. Understanding the rules can help you legally write off costs while staying compliant with the latest tax laws.
Who Can Deduct Business Travel?
Thanks to the Tax Cuts and Jobs Act, employees currently cannot deduct unreimbursed business travel expenses through 2025. These are classified as “miscellaneous itemized deductions,” which remain suspended until further notice. Additionally, proposed legislation under review in the Senate—dubbed the “One, Big, Beautiful Bill”—could make this change permanent.
However, there’s good news for business owners and self-employed professionals: You can still deduct eligible business travel expenses as long as the trip is necessary, includes an overnight stay within the U.S., and is directly related to your business.
What Summer Travel Expenses Are Tax-Deductible?
If your trip qualifies as business-related, you may deduct a range of expenses, including:
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Transportation: Airfare, train tickets, taxis, ride-shares, rental cars, and mileage for personal vehicles
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Lodging: Hotel stays during business days
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Meals: 50% of the cost of meals, even if they aren’t directly tied to a meeting or client event
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Incidental Expenses: Dry cleaning, business phone calls, and rental equipment (like a laptop)
Keep in mind: the IRS disallows deductions for personal activities such as sightseeing, spa treatments, movie tickets, or pet boarding while away.
Business vs. Personal Travel: How to Separate Expenses
Combining work and vacation this summer? That’s fine—but only your business-related expenses are deductible. Here’s how to stay compliant:
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Business Days Count: Only meals and lodging for days primarily spent on business are deductible.
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Travel Purpose Matters: If your trip is mainly for business, the cost of traveling to and from your destination (like airfare) is fully deductible. If the main purpose is personal, those travel costs are not deductible.
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Time Allocation: The IRS will examine how much of your trip was spent on business versus leisure. The more time you spend on personal activities, the less likely your travel will qualify for deductions.
International travel comes with even more scrutiny, so consult a tax advisor for guidance.
Conferences and Spouse Travel: Special IRS Rules
Attending a professional seminar or training event? Keep all documentation that confirms the business nature of the event, including the agenda and registration receipts.
Bringing your spouse or partner along? Their expenses are not deductible unless:
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They are a legitimate employee of your business, and
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Their presence serves a bona fide business purpose
Simply tagging along doesn’t count!
Maximize Deductions with Proper Documentation
To ensure your travel deductions withstand an IRS audit, keep organized and detailed records, including:
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Receipts
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Travel itineraries
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Business purpose notes
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Names of attendees for meals
The IRS places significant weight on documentation, so don’t rely on memory alone.
Need Help Planning a Deductible Business Trip?
Tax law around travel deductions can be complex, especially when mixing business with leisure. If you’re unsure what’s deductible, contact our office for personalized tax planning guidance. We’ll help you stay compliant—and maximize your legitimate deductions.
