Is Travel to Work a Business Expense?

By Michael Ferguson

Travel to work is a business expense – at least, in some cases. Depending on your particular situation, there may be some tax advantages to claiming travel expenses related to your job. It is important to understand the rules that govern what you can and cannot deduct when filing your taxes, however.

If you are an employee and you use your own vehicle or public transportation for work-related travel, then you may be able to deduct certain expenses. Generally speaking, mileage-related costs such as fuel, oil changes, and tire repairs can be deducted if they are necessary for job-related travel. Additionally, parking fees and tolls associated with the trips may also be deductible.

If you use public transportation such as buses or trains, then the cost of those tickets can also be deducted as a business expense.

If you are self-employed or work as an independent contractor, then you may be able to deduct travel expenses associated with your work even if it does not involve using your own vehicle. This includes things like airfare, hotel rooms, meals while traveling for business purposes, rental cars and other related costs. In order to qualify for these deductions, the trip must have been necessary for the conduct of business; simply taking a business trip for pleasure would not qualify.

It is important to keep detailed records of all of your travel expenses in order to maximize the deductions that you can claim on your taxes. Be sure to keep track of dates traveled, destinations visited and purpose of each trip in order to establish a clear relationship between the expense and its benefit to your job or business activity.

Travel expenses related to one’s job or profession can often be deductible on taxes depending on the individual’s particular situation; knowing what qualifies as a legitimate deduction can help one maximize their tax savings while still performing their duties properly.