Kimberly is a self-employed taxpayer. She recently spent $1,000 for airfare to travel to Italy. What amount of the airfare is deductible in each of the following alternative scenarios? (Leave no answers blank. Enter zero if applicable.)

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Business

Litzy Mcmahon

12 February, 19:11

Kimberly is a self-employed taxpayer. She recently spent $1,000 for airfare to travel to Italy. What amount of the airfare is deductible in each of the following alternative scenarios? (Leave no answers blank. Enter zero if applicable.)

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Answers (1)

Know the Answer?

Valery Kelly · Answer 1

The correct answer for personal use is $0 and for business use is $1,000.

Explanation:

According to the scenario, the given data are as follows:

Spent on airfare = $1,000

So, we can calculate the amount of airfare deduction by analyzing following terms:

If the travel is for personal use, then there will be $0 deduction for the amount of airfare, because no deductions allows for personal expenses. If the travel is for business use, then there will be 100% deduction which means $1,000 deduction for the amount of airfare, because there is 100% deduction allows for business expense.