Question

Bob lives and works in Newark, NJ. He travels to London for a three-day business meeting, after which he spends three days touring Scotland. All of his air fare is deductible.

a. True
b. False

Answer 1

The airfare for Bob's business meeting in London is deductible, but the airfare for his tourism in Scotland is not deductible.

Step-by-step explanation:

The correct answer is b. False.

Although Bob's airfare for the business meeting in London is deductible, his airfare for the tourism in Scotland is not deductible.

IRS guidelines state that airfare expenses are deductible only if they are related to business travel. In this case, the three-day business meeting in London qualifies as a business expense, so the airfare for that portion of the trip is deductible. However, the three days spent touring Scotland after the meeting is considered personal travel and therefore not deductible.