Your supervisor has asked you to research a potential tax deduction for a client, Mr. Robert Jones. Mr. Jones is a bank loan officer that lives in Port Charlotte, FL. His specially is marine loans; in particular, loans for classic boats. Over the years, Mr. Jones has developed a very unique expertise in valuation of classic boats and is considered a global expert in the field. In the current year, Mr. Jones is hoping to attend the North American Classic Marine boat Show that takes place in Zihuatanejo, Mexico. He attends the show more or less every year in order to stay current on classic boat valuations. Interested parties from around the world attend the show in the quaint Mexican coastal town. Mr. Jones cost to attend is $750 for registration, $1,450 for airfare from Portland to Zihuatanejo, and $1,800 for lodging. Meals are estimated at $500.

Instructions: Prepare a client letter for Mr. Jones that describes the issue he will face when attempting to deduct the cost of attending the show. Be sure to include the total amount that could be deducted as a business expense and any substantiation requirements. Use IRS Publication 463 available from www.irs.gov.