Splitting Travel Expenses for two prope.rties

[Chris Seidler]

If you have two properties in two different states and visit both of them for business purposes on thr same trip, how do you split the travel expenses?

Example with round numbers to KISS:

-Travel from residence to property A.  $300 mileage, two nights in a hotel ($300 total).

-Travel from A to B in the next state over.  $100 mileage, three nights with family so no lodging per diem.

-Travel from C back to residence.  $300 mileage.

in this example there is $1000 in deductible expenses.  Do we allocate based on days at each property (so 2/5 and 3/5)? Do we allocate each expense to a specific property, so all the hotel goes to A? Thanks!

[Greg Scott]

My W2 friends would ask "What is the corporate policy?"  Since you control the corporate policy, that is a decision you can make.  There really is no wrong answer as long as there is a reasonable justification should the IRS question it.