How to report individual travel meals to meet minimum daily allowance
My travel expenses for a recent business trip flow automatically into my Quickbooks account- and I am trying to figure out how to categorize these. They come to less than the daily allowance for the city I was in, but in one article I saw, it mentioned you can report half the cost of your business meals. I'm very confused on this and am not finding the specific answer in previous discussions.
Do I take the expense and change it to 50% of the total? Even though I'm nowhere near the daily allowance? Thanks so much in advance for any advice.
You can report all of your travel expenses and categorize them under Travel meals in QuickBooks Self-Employed (QBSE).
You are required to document the purpose of the expense and how it relates to your business. These expenses are deductible whether or not you itemize deductions on your tax return. You can figure your meals expense using either of the following methods:
The standard meal allowance
As a reference, you can also check out this article for more information: Schedule C: Meals.
Please know that regardless of the method you use, you generally can deduct only 50% of the unreimbursed cost of your meals.