topic Travel reimbursement from a foreign country in Get your taxes done using TurboTax

Travel reimbursement from a foreign country

YYOO — Tue, 04 Feb 2020 09:12:57 GMT

I attended a conference in Japan and got reimbursed for the travel expenses. The organizer asked me to submit Form 6166, Certification of US tax residency to the Japanese tax office, so that I don't have to pay tax in Japan.

Is this reimbursement taxable in the US? How do I report it and the deduction on the tax return (Since it is a reimbursement, I made no net income)? The foreign organizer did not issue a 1099 MISC.

Re: Travel reimbursement from a foreign country

DavidS127 — Tue, 04 Feb 2020 15:45:00 GMT

It depends on whether travel to the conference was for business or personal reasons.

If you were reimbursed for nondeductible personal expenses, the income is taxable and you can add it in the section Federal>>Income & Expenses>>Less Common Income>>Miscellaneous Income, 1099-A, 1099-C>>Other income not already reported on a Form W-2 or Form 1099>>other wages>>Any Other Earned Income>>Other.

If the travel was for business as a self-employed person, use the travel reimbursement to offset your deductible travel expenses for the trip.

If the travel was for business as an employee, you should reduce the travel expenses you submit to your employer for reimbursement. Or, if your employee travel expenses were not reimbursed it goes to offset your unreimbursed employee expenses. Either way, it does not need to be reported on your tax return.

Re: Travel reimbursement from a foreign country

YYOO — Tue, 04 Feb 2020 19:31:15 GMT

The travel is for business. The foreign organizer did not issue a 1099 Misc, so where do I report the income and where do I deduct the expenses on TurboTax online? Thanks again.

Re: Travel reimbursement from a foreign country

DavidD66 — Tue, 04 Feb 2020 19:48:25 GMT

If you are self-employed, report the payment as business income on Schedule C as you would any income not reported on a 1099-MISC. Report the expenses on Schedule the same as any other travel expenses. If they are the same, the two will net to zero. If you are a W-2 employee and the reimbursement did not exceed your expenses, then you don't need to report anything.