Unless you can bill 50% as a work expense or something
I'm assuming it'll have the same caveat as the medical expense deduction, where reimbursed expenses can't be included. (Was thinking this before in terms of points too).
Existing thread on this:https://forums.dansdeals.com/index.php?topic=117376.0
Merged, thanks.Until the spread is quashed across the US, does it make sense to encourage travel?
https://policylab.chop.edu/blog/covid-19-outlook-america-hangs-balance-early-evidence-behavior-shifts
No, in that scenario you for sure would not ger a credit, as up until now airline and cc miles/points have no taxable value per the IRS. So just like you don't have to include their value as taxable income, you also won't be able to count them as an expense.
Just speculating, but my guess is that as long as you can show proof you incurred the expense (ie: via the charge on your credit card statement), you could count it. Of course if the same credit card statement shows a credit for cashing in points for the exact same amount, it would muddy the waters a bit.
Will we have a PGGM 2.0?
What was PGGM?
The tax credit is a brilliant idea. Americans spending tourism money abroad does not help the US. I suspect we may see this evolve into a permanent incentive.
Quotes in a signature is annoying, as it comes across as an independent post.
I wonder if it will just cause travel costs to rise as the credit gets baked in ala credit card points
Good point, there will definitely be some inflation in domestic travel prices, but hopefully also quality & quantity prices.
What percentage of domestic travel is elective/leisure vs. business or other required travel (e.g. medical/family etc)?
https://www.ustravel.org/answersheet
transportation, food, recreation/amusement
The data includes foreign travelers visiting the US. They won't be incentivized so that needs to be deducted from the calc.International Travel Imports totaled $196 billion.
