tax brehs, save me :to:

[Sensitive Blake Griffin]

this project is fukking annoying. I have to cite tax codes and court cases to back up my argument.

Sam is a salesperson for Panoramic Pools, a construction company that builds and sells prefabricated swimming pools. The company operates several franchises throughout the United States. Sam has progressed to become the top salesperson for the franchise where he is employed. Sam has done so well that he is considering purchasing his own franchise. This year he contacted the regional office about the possibility of opening up his own shop. The vice president in charge of expansion, Greg Grow, suggested that the two of them meet at the company’s annual meeting of franchises, held in Orlando, Florida. Greg knew that Sam, although not a franchisee, would be attending because he was the top salesperson in his office, and the company invites the top salesperson from each office as well as his or her spouse to attend the meeting.

While at the four-day meeting (Tuesday through Friday) in Orlando, Sam and his wife, Sue, met with Greg and discussed the potential venture. In addition, Greg allowed Sam and Sue to attend the parts of the meeting that were only for franchisees so that they could get a glimpse of how the company operated. Of course, while they were in Orlando, Sam and his wife visited all of the tourist attractions. On Tuesday, there were no meetings scheduled and everyone spent the day at Disney World and Epcot Center. On Thursday afternoon, no meetings were scheduled and the couple went with Greg and his wife to Sea World. Sam attended meetings for several hours on Friday while his wife played golf. The couple stayed over through Sunday and continued their sightseeing activities. The company picked up the tab for the couple’s trip, reimbursing Sam $3,500 which included the cost of air fare, meals, lodging, and entertainment.

Sam wants to know if the $3,500 payment he received is considered taxable income to him. If any of the $3,500 is taxable, Sam also wants to know if he will be allowed any offsetting deductions for the expenses he incurred.

I'm just not sure if my thoughts are correct. It seems that this trip is primarily personal in nature because he did very little in relation to a business purpose. He only had meetings on like friday and even extended his trip to Sunday to continue sightseeing yet he got a full reimbursement. But then I have second thoughts because due to him being a top employee he was invited on the trip. You would expect the full expenses to be paid for the 4 days. I can't seem to find any court cases that quite translate to this example. I want to kill myself because after this bull shyt ass project I have a second even more difficult project where I ahve to do an entire 1040 and a fukk-load of other forms like depreciation, self employment, small business...:cry:

edit: and then you have the whole thing of his wife was brought along for the trip, as invited by the company

 

[TYBG]

Blake..I literally just did some similiar hw last week. Your professor didnt give you a tax research database to use?

If she did, literally type in the main words and use primary sources. Id help you but im not near my books or computer.