Contents Introduction  ........................................ 2 1. Travel Expenses  ............................. 2 Tax Home  ....................................... 3 Temporary Assignment or Job  .. 3 What Are Travel Expenses? ........... 4 Deductible Travel Expenses  ..... 4 Standard Meal Allowance  ......... 5 Travel in the United States  ....... 6 Travel Outside the United States 6 Luxury Water Travel  .................. 8 Conventions ............................... 8 2. Entertainment Expenses  ............... 9 What Entertainment Expenses Are Deductible? .............................. 9 Directly-Related Test  ................. 10 Associated Test  ......................... 11 50% Limit ................................... 11 3. Business Gift Expenses  ................ 12 4. Local Transportation Expenses  ... 13 Car Expenses  ................................. 14 Standard Mileage Rate  ............. 14 Actual Car Expenses ................. 15 Disposition of a Car ................... 21 Leasing a Car  ............................ 21 5. Recordkeeping  ............................... 22 How To Prove Expenses  ................ 22 Adequate Records ..................... 22 How Long To Keep Records and Receipts .............................. 24 6. How To Report  ............................... 25 Where To Report  ............................ 25 Vehicle Provided by Your Employer  ............................ 25 Reimbursements ............................. 25 Accountable Plans ..................... 26 Nonaccountable Plans  .............. 28 Rules for Independent Contractors and Clients ...... 29 Completing Forms 2106 and 2106–EZ  .................................. 29 Special Rules  ............................ 30 Illustrated Examples  .................. 31 7. How To Get More Information  ...... 36 Appendices  ......................................... 36 Appendix A  .................................... 37 (Standard Meal Allowance Amounts) Appendix B  .................................... 42 (Inclusion Amounts for Leased Cars) Appendix C  .................................... 50 (Inclusion Amounts for Leased Electric Cars) Index  .................................................... 52 Important Changes Standard mileage rate.   The standard mile- age rate for the cost of operating your car in 1999  is  32¹/2  cents  a  mile  for  all  business miles driven before April 1. The rate is 31 cents a mile for business miles driven after March 31. Car  expenses  and  use  of  the  standard mileage rate are explained in chapter 4. Department of the Treasury Internal Revenue Service Publication 463 Cat. No. 11081L Travel, Entertainment, Gift, and Car Expenses For use in preparing 1999  Returns