Travel expenses related to foreign conventions are disallowed unless the meeting is directly related to the taxpayer's business, and it is reasonable for the meeting to be held outside of North America. True or False?

True.

Explanation:

Travel expenses to foreign conventions are disallowed unless the meeting is directly related to the business, and this activity can't be held inside North America, such as meetings, training, and others, otherwise it would be considered as a personal vacation and they wouldn't be deductible.

Some of the expenses that can be claimed as tax deductions are: conference and registration fees, vehicle from the hotel to any business activity location, transportation to the country, lodging, 50% of meal expenses and 50% of the cost of entertaining patients or suppliers.

These travel expenses are fully deductible only if the employee spends 100% of the time on business, however if the employee spent time engaging personal activities, he / she would have to make an allocation in proportion to the number of days or time spent during business activities and personal ones.

On the other hand, if you meet one or more of these conditions, your trip can be considered entirely for business:

- Less than one week outside the U. S.

- Less than 25 percent of time on personal activities.

- Vacation was not a major consideration.