If I purchase points and use them on a business flight is the cost tax deductible?

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aaronos

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May 1, 2013
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Hi there,

I need to purchase a one-way flight to Europe for work (already have return leg). The most cost effective way to do it is to purchase points (eg aa.com ) and use them on a reward flight.

i was just wondering if in that instance the cost of the points would be tax deductible. Obviously if I bought the ticket direct it would be, just trying to get my head around whether the purchase of points to buy the ticket would qualify.

Any help would be much appreciated.

regards
aaron
 
I have claimed such before as a tax deduction with no problems.

It would normally be easy enough to show the costs incurred in the purchase for business related travel, especially if all points purchased were used so.
 
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Re: If I purchase points and use them on a business flight is the cost tax deductible

Agree with Serfty. Just to make the paper trail less ambiguous it might be advisable for the business to pay for the points purchase direct rather than reimbursing you after the fact especially if all the points won't be used for the flight bookings.
 
Re: If I purchase points and use them on a business flight is the cost tax deductible

Yes an expense is an expense, as long as you can prove it. Now if you submitted a receipt for a full fare and were then proven to have only paid with points you would be in trouble
 
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