RACINE, Wis., Dec. 22, 2025 (GLOBE NEWSWIRE) -- Which business expenses truly qualify for tax deductions, and which do not? A HelloNation article featuring Racine-based professionals Rick Kutch, CPA, and Mark Leeder, CPA, of 415 CPAs, answers that question by breaking down the key distinctions every taxpayer should know. Their insight focuses on the most commonly misunderstood categories—meals and vehicle use—and how proper recordkeeping ensures compliance with IRS business expense rules.
The article explains that many taxpayers assume any meal or car use related to work can be written off. However, both areas are governed by specific IRS business expense rules that require documentation and clear business intent. A business meal deduction, for instance, must meet criteria beyond simply occurring during work hours. If the meal does not involve a client, colleague, or business-related discussion, it is generally not deductible. The article emphasizes that deductible business meals must have a direct professional purpose and take place in a setting conducive to business activity.
Kutch and Leeder note that understanding these distinctions helps business owners avoid costly mistakes during tax season. The difference between a deductible business meal and a personal expense often comes down to documentation. Keeping a detailed record that includes the date, location, attendees, and purpose of the meal forms part of strong tax documentation for deductions. Without these details, the IRS may disallow the deduction during an audit.
Vehicle-related deductions raise similar challenges. Many business owners believe that using their personal car for any work-related task allows them to claim expenses. However, according to the HelloNation article, only business mileage tied directly to professional activity qualifies. Commuting from home to the primary office does not. Eligible mileage includes trips to client meetings, off-site appointments, or business errands. The experts emphasize that maintaining a consistent vehicle mileage log is essential for proving business vehicle use and substantiating claims under IRS business expense rules.
The article underscores that a vehicle mileage log must document the origin, destination, date, and purpose of each trip. These entries create a clear record showing which miles were for business and which were personal. Without a proper log, even legitimate business vehicle use can be questioned, resulting in denied deductions. As the HelloNation feature points out, detailed tax documentation for deductions is one of the strongest safeguards a taxpayer can have during an IRS review.
The discussion also addresses the importance of intent and evidence. Both Rick Kutch and Mark Leeder emphasize that accurate documentation reflects not only compliance but also a professional approach to financial management. Business owners who maintain precise records demonstrate their commitment to following IRS business expense rules, which can reduce the likelihood of costly disputes or penalties.
Another takeaway from the article is that deductions are not only about saving money but about maintaining the credibility of one’s financial records. For example, a business meal deduction can quickly become a red flag if the taxpayer cannot provide a clear explanation of its purpose or the participants involved. Similarly, missing or incomplete vehicle mileage logs often trigger closer scrutiny from auditors. The message from 415 CPAs is clear: prevention begins with organized recordkeeping.
Kutch and Leeder advise that small business owners in Wisconsin adopt consistent recordkeeping habits throughout the year, rather than scrambling to assemble receipts during tax season. This includes saving digital or paper copies of meal receipts with handwritten notes describing the business context and updating mileage logs on a weekly basis to ensure accuracy. Proper tax documentation for deductions provides clarity and confidence, not only during audits but also when making business decisions based on accurate financial data.
The HelloNation article also reminds readers that the IRS does not judge deductions solely by their type but by their supporting evidence. Even a legitimate business meal or business vehicle use with a deductible can be rejected if the proof is insufficient. Therefore, establishing disciplined habits early helps safeguard legitimate expenses and reinforces credibility with tax authorities.
Ultimately, Kutch and Leeder conclude that diligence pays off. Following IRS business expense rules and maintaining thorough records ensures that deductions withstand scrutiny. The right approach to documentation transforms what might seem like tedious paperwork into a long-term advantage for business owners, offering both peace of mind and financial stability.
Not Every Business Expense Is Deductible: Here's What to Know features insights from Rick Kutch, CPA, and Mark Leeder, CPA, accounting experts from Racine, Wisconsin, in HelloNation.
About HelloNation
HelloNation is a premier media platform that connects readers with trusted professionals and businesses across various industries. Through its innovative “edvertising” approach that blends educational content and storytelling, HelloNation delivers expert-driven articles that inform, inspire, and empower. Covering topics from home improvement and health to business strategy and lifestyle, HelloNation highlights leaders making a meaningful impact in their communities.
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