Well, I'm going to deduct my business expenses whether I get reimbursed or not, isn't that right, and end up with the same tax liability. This just seems like a cash flow issue. For example, say I have contract that pays me $50,000/year for which I get a 1099-NEC. In the same year I incur $10,000 in travel expenses working for my client and get reimbursed, so my total 1099-NEC is now $60,000. I deduct the $10,000 when I file my taxes (with proper documentation) along with any other non-reimbursable business expenses. If I don't get reimbursed for the $10,000 and simply deduct them as business expenses against the $50,000 1099-NEC, isn't my net profit $10,000 less?
