Question

Which of the following is a true statement?

A. Traveling from a personal residence to a place of business is deducted for AGI as a moving expense.

B. Traveling from a personal residence to a place of business is a miscellaneous itemized deduction subject to the 2 percent of AGI limitation.

C. The standard mileage rate can be used to calculate the deduction for traveling from a personal residence to a place of business.

D. Traveling from a personal residence to a place of business is deductible if reimbursed by an employer.

E. Traveling from a personal residence to a place of business is nondeductible.

Answer 1

Traveling from a personal residence to a place of business is nondeductible.

Step-by-step explanation:

The correct statement is E. Traveling from a personal residence to a place of business is nondeductible. Personal commuting expenses, such as traveling from home to work and vice versa, are generally not tax-deductible. The IRS considers these expenses to be personal in nature and not directly related to the production of income. As a result, they cannot be deducted from the taxpayer's income for tax purposes.