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I:9-55 Travel Expenses. Marilyn, a business executive who lives and works in Cle

ID: 2386183 • Letter: I

Question

I:9-55 Travel Expenses. Marilyn, a business executive who lives and works in Cleveland,
accepts a temporary out-of-town assignment in Atlanta for a period of ten months.
Marilyn leaves her husband and children in Cleveland and rents an apartment in Atlanta
during the ten-month period. Marilyn incurs the following expenses, none of which are
reimbursed by her employer:
Airfare to and from Atlanta $ 800
Airfare for weekend trips to visit her family 8,000
Apartment rent 10,000
Meals in Atlanta 8,500
Entertainment of customers 2,000
Total $29,300
a. Which of the expenditures listed above (if any) are deductible by Marilyn (before any
limitations are applied)?
b. Are each of these expenditures classified as for AGI or from AGI deductions?
c. If Marilyn

Explanation / Answer

24,050 They are all deductible, but meals and entertainment are at 50%.