That’s the best way to get the most out of your tax deductions when you are traveling on business. The fact is that your travel accommodations, such as your hotel room, are 100 percent tax deductible when they are fully business related. Therefore, take full advantage of this by staying at the best hotel you can. Even the cost of your travel, such as the car ride or the airfare is also 100 percent deductible. Fly first class or drive in a luxury car.
But, only 50 percent of the cost of your meals on the road is deductible. That’s where you may want to stick to the lower end if you are on a budget.
Each of these costs does require that you have accurate records kept. When you are traveling, take into consideration what costs you have including things like your dry cleaning, your tipping expenses and the tolls you pay. It all adds up!