CHAPTER 8 Travel and Entertainment Expenses
Technology has enabled small business owners to market their goods and services in a manner similar to that of larger companies. For example, local radio advertising may expand the market for a small business beyond the general area in which its office is located. To service these expanding markets, you may have to travel to see clients, customers, vendors, suppliers, and others who are part of your business operations. If you travel on business or entertain clients, customers, or employees, you may be able to deduct a number of expenses, provided you follow special substantiation rules.
For further information about travel and entertainment costs, see IRS Publication 463, Travel, Entertainment, Gift, and Car Expenses. Business use of your car for travel and entertainment purposes is discussed in Chapter 9.
Local Transportation Costs
Do you travel from your office to see clients ...
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