Question

Shelley is employed in Texas and recently attended a two-day business conference at the request of her employer. Shelley spent the entire time at the conference and documented her expenditures (described below). What amount can Shelley deduct if she is not reimbursed by her employer?
Airfare to New Jersey $2,000
Meals $220
Lodging in New Jersey $450
Rental car $180

(A) $2,850
(B) $2,740
(C) $1,850 if Shelley's AGI is $50,000
(D) All of these expenses are deductible if Shelley attends a conference in Texas.
(E) None of the expenses are deductible by an employee.

Answer 1

Answer:

(E) None of the expenses are deductible by an employee.

Explanation:

Given:

Airfare to New Jersey = $2,000

Meals = $220

Lodging in New Jersey = $450

Rental car = $180

Since, all the expenses here are linked to the activities that are done on the business trip i.e expenses not occurred for the personal benefit or for the personal use.

also, the employees cannot deduct the business expenses.

hence, option (E) is correct