Mark is a lawyer who lives and practices law in Minneapolis. During 2015, Mark t

Question

Mark is a lawyer who lives and practices law in Minneapolis. During 2015, Mark takes his family (wife and 1 child) to Florida (plane tickets are $270 per person) where they stay while Mark attends a legal conference for three days. The remaining two days they spend at the beach. The hotel room costs $140 per night and meals are $85 per day total for the three of them. Mark also tracks his mileage on his car that is used for personal and business purposes. 4500 miles are for commuting from home to his office downtown. 3215 miles are spent driving from his office to various client locations for meetings. Mark also has the receipts for many of the lunches that he takes his clients to. He usually takes them to the country club where he has a membership. The membership costs Mark $1,400 per year and he spent $1,260 in lunches at the country club. These lunches involve some discussion of a legal issue and Mark has kept a record of these lunches. None of these expenses are reimbursed by Mark’s employer. Which of the expenses listed above would be deductible by Mark and how much would be deductible (ignore any 2% floor)?

Explanation / Answer

Solutoin:

Deductable Expencess

Hotel Rooms 140 * 3 420

Meals 85 * 3 255

Membership Costs 1,400

Lunches Cost 1,260

Total Amount = 3,335

And 3,215 Miles are Used for Business Purpose

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