Evelyn, a business executive who lives and works in Cleveland, accepts a temporary out-of-town assignment in Atlanta for a period of ten months.

Evelyn leaves her husband and children in Cleveland and rents an apartment in Atlanta during the ten-month period.

Evelyn incurs the following expenses, none of which are reimbursed by her employer:

Airfare to and from Atlanta: 700

Airfare for week end trips to visit her family: 9,200

Apartment rent: 11,000

Meals in Atlanta: 8,400

Entertainment of customers: 1,600

Total: 30,900

Requirement a. Which of the expenditures listed above (if any) are deductible by Evelyn for 2017 (before any limitations are applied)? How would your answers change if the tax year were 2018 rather than 2017?

Designate which of the expenditures are potentially deductible in 2017 and 2018.

	For 2017	For 2018
Airfare to and from Atlanta
Airfare for weekend trips to visit her family
Apartment rent
Meals in Atlanta
Entertainment of customers

Requirement b. Are each of these expenditures classified as for AGI or from AGI deductions?

	For 2017	For 2018
Airfare to and from Atlanta
Airfare for weekend trips to visit her family
Apartment rent
Meals in Atlanta
Entertainment of customers

Requirement c. If Evelyn's AGI is $180,000,

what is the amount of the deduction for the expenditures?(Complete all input fields. Enter a "0" for any zeroamount.)

The amount of the 2017 deduction for the expenditures is
The amount of the 2018 deduction for the expenditures is

Requirement d. Do the tax consequences change if Evelyn's assignment is for a period of more than one year?(Multiple choice sentence)

No. The tax consequences for 2017 would not change. Only the airfare to and from Atlanta and meals be personal non deductible expenses

Yes. The tax consequences for 2017 would change. Only the apartment rent and entertainment would

The airfare for weekend trips, apartment rent, and meals still be deductible

Requirement e. Do the tax consequences in Parts a through c change if it was realistically expected that the work would be completed in ten months but after the ten-month period Evelyn is asked to continue for seven more months and if an additional $9,000 of travel expenses are incurred during the extended period?

The expense associated with the first ten months( Multiple choice sentence)

would be would be

would not be deductible in 2017. The portion of the $9,000 related to travel would not be deductible.

The portion related to meals and entertainment (Multiple choice sentence)

is still considered part of the travel expense and is deductible at 75% in 2017

is not considered a travel expense and is deductible in 2017