Source: https://www.westerncpe.com/course/travel-and-entertainment-deductions-your-complete-guide-self-study/
Timestamp: 2019-02-22 02:30:25
Document Index: 791707535

Matched Legal Cases: ['§162', '§165', '§195', '§274', '§280', '§179', '§280', '§132', '§1', '§162', '§274', '§274']

Travel and Entertainment Deductions: Your Complete Guide | Western CPE
Travel and Entertainment Deductions: Your Complete Guide
This fundamental course examines and explains the practical aspects of travel and entertainment deductions, helping you stay up-to-date on current developments. We’ll begin with a review of key principles and demonstrate important planning opportunities. By discussing and evaluating creative strategies alongside traditional approaches, this course gives you the tools to use in many different types of tax scenarios. In addition, you’ll come away with a better ability to understand and solve tax problems in this often difficult area.
Revision Date Jun 13, 2017
Course ID SS8130276
IRS Course ID: 0MYXB-T-00437-13-S
CTEC Course ID: 2071-CE-0470
Recognize the difference between transportation and business travel under §162 by identifying types of business travel expenses and the deduction and amortization requirements of §165 and §195
Specify deductible travel costs to find a new job, identify investor travel expenses, and determine deductible transportation
Identify the business purpose requirement, noting the complications of mixed business and personal travel as well as the costs at a destination
Recognize the IRS’s and Circuit Courts’ definition of tax home, noting circumstances when a taxpayer lacks a tax home as well as the sleep and rest rule requirements for the “away from home” designation
Note the critical factor in distinguishing between temporary and indefinite job assignments
Identify the key elements of domestic business travel, noting what costs are deductible
Specify the requirements of the “point-to-point” rule for different modes of transportation as well as which expenses incurred on a business trip with an extended stay or side trip are deductible
Recognize the rules and requirements for foreign business travel, including when foreign travel is fully deductible or disallowed, allocation rules, allowable expenses, and applicable exceptions to the general rule
Recognize the rules and requirements for convention and meeting expenses, noting agenda factors that determine a business-related meeting, the availability of the convention and meeting deduction, differences between foreign conventions and foreign travel, and convention expenses permitted under §274(h)
Identify the rules and limitations on cruise ship conventions, including the requirements for the luxury water travel exception, limitations for companion travel expenses, and the deductibility of handicap aides that accompany taxpayers on business trips
Determine what constitutes transportation, local transportation, and commuting, recognizing when parking fees are deductible and the effect of the Washburn case on commuting deductions
Note the requirements for the regular/irregular rule, the definition of a temporary work site under R.R. 90-23, and the impact of R.R. 94-47 and R.R. 99-7 on transportation between a taxpayer’s residence and workplace
Specify the §280A home office requirements, noting its impact on business transportation
Recognize the requirements for hauling tools and equipment, noting important court cases and their determinations
Recognize generally accepted methods of apportioning the business use and personal use of an automobile
Identify the automobile costs that are generally deductible and nondeductible, noting applicable exceptions
Cite actual cost method expenses, auto depreciation, and §179 expensing requirements, noting the basis for computing depreciation, the determination of when a car is placed in service, depreciation methods and conventions under MACRS, and depreciation caps that apply to different vehicles
Specify the impact of the §280F predominate business use rule as established by the Tax Reform Act of 1984
Recognize the rules associated with automobile leasing, noting the defining characteristics of open-end and closed-end leases, monthly lease payment requirements income inclusion amounts, and leasing deduction restrictions
Identify the mechanics of the standard mileage method including the ability to switch methods, deduct charitable and medical transportation, and MACRS depreciation limitations
Recognize the differences between trading and selling a vehicle, noting the rules for employer-provided vehicles as §132 fringe benefits, applicable personal use valuation methods, exclusion limits for related deductions, and reporting requirements
Define entertainment using Reg. §1.274, noting objective and subjective components, situations where entertainment could be reclassified as a gift or travel expense, the allocation and proration process, and requirements for ordinary and necessary under §162
Recognize the testing requirements for deductible entertainment under §274, noting the conditions required for the directly related test, examples of clear business settings, the meaning of “associated with,” and statutory exceptions
Identify deductible home entertainment expenses, noting the limitations of ticket purchases
Identify provisions under which goodwill entertainment may be deductible
Recognize the requirements for determining an entertainment facility, noting excluded facility types and costs as well as the effect of OBRA ’93 on club dues
Specify the tax benefits and substantiation requirements for business gifts, employee achievement awards, and sales incentive awards, noting applicable limitations, exclusions, and conditions that must be met
Identify expense categories subject to the detailed substantiation requirements of §274(d), noting exceptions to these requirements as well as the elements that require proof for each expense type
Identify ways to substantiate travel and entertainment expenses, including specifying when record entries must be made, selecting a sampling of the use of listed property for portions of a taxable year, and identifying documentary evidence
Identify methods that can be used to substantiate the requisite elements of listed property expenditures, noting how long records should be retained
Identify whether an employee must file Form 2106
Identify the requirements for an accountable plan, noting reasonable period of time safe harbors
Recognize the federal per diem rate methods available to account for travel expenses, noting the accounting rules for incidental expenses, meal breakouts, and the 50% limitation
Note the defining characteristics and requirements for accountable plans and nonaccountable plans as well as the correct reporting of employee reimbursements
Specify the requirements for entertainment and nonentertainment expenses incurred by an independent contractor
Identify whether an employer can take deductions for reimbursed travel, entertainment, meals, and/or business