Can I claim expenses for business travel abroad?

Understanding the question: what does it mean to “claim expenses” for business travel abroad?

When people ask, “Can I claim expenses for business travel abroad?”, they’re usually trying to work out whether the costs of an overseas trip can be treated as business costs rather than personal spending. In practical terms, claiming expenses generally means recording qualifying costs as business expenses so they reduce taxable profit (or are reimbursed by an employer under an expenses policy). The details depend on where you pay tax, your business structure, and the reason you travelled. However, most tax systems share a common idea: if the expense is incurred “wholly and exclusively” (or primarily) for business purposes, it is more likely to be allowable. If it’s partly personal, the business element may need to be separated, and in some cases the entire cost may be disallowed.

Business travel abroad is an area where people often make mistakes because overseas trips are frequently mixed with personal time: a weekend added on, sightseeing between meetings, or bringing family along. That doesn’t automatically mean you can’t claim anything, but it does mean you must be able to show what the trip was for, what you did, and which costs were genuinely business-related.

This article walks through how to think about overseas travel expenses, what costs are typically claimable, how mixed-purpose trips are handled, what records you should keep, and how to avoid common pitfalls. While the exact rules vary by jurisdiction, the principles below are broadly applicable and can help you have a more informed conversation with an accountant or payroll/finance team.

Business purpose is the foundation: why you travelled matters more than where you travelled

The first test is usually the purpose of the trip. If you travelled abroad for a clear business reason—meeting clients, attending a trade show, delivering services, inspecting a supplier, negotiating a contract, or carrying out site work—then you’re starting on solid ground. If your trip was primarily a holiday and you happened to take a couple of work calls, it’s much harder to claim travel costs.

It can help to define “business purpose” in a way that is easy to evidence. Ask yourself: what would the business have done if you didn’t go? Would the business have paid someone else to do it? Were there scheduled meetings, tickets for a conference, or a contract requiring your presence? The more objective the evidence, the easier it is to justify the expense.

In many tax systems, the distinction often comes down to whether the business purpose was the main driver of the trip. If the main driver was business, then some or all costs may be allowed. If the main driver was personal, then costs are more likely to be disallowed. Where the trip has both elements, you may need to apportion costs, and the method of apportionment must be reasonable and supported by records.

Who is claiming: employee vs self-employed vs company director

Your ability to claim overseas travel costs also depends on your role and how you’re taxed.

Employees typically claim expenses through an employer’s expense reimbursement process. If the employer reimburses qualifying costs under a policy, the employee may not need to claim tax relief separately (depending on the system). If the employer does not reimburse, some systems allow employees to claim certain unreimbursed work expenses, while others are much more restrictive.

Sole traders / self-employed individuals usually claim expenses by recording them as business expenses in their accounts. This is often where mixed-purpose issues arise because the business and the individual can be closely intertwined.

Limited company directors can claim expenses incurred “wholly and exclusively” for the company’s business, but the paper trail and company justification matters. If the trip includes a personal element and the company pays for it, the personal portion may be treated as a benefit or distribution, depending on local rules.

Although the principles are similar, the compliance expectations and documentation standards can differ. Employees may focus on employer policies. Business owners and directors need to consider both tax deductibility and how the cost is treated in the business accounts.

What overseas travel expenses are commonly claimable?

Assuming the trip is genuinely for business, the following categories are commonly claimable (at least in part). Keep in mind that what’s allowed can vary, and the way you book or package the travel can affect how easily you can demonstrate the business element.

Flights and other transport to and from the destination

Airfare is often claimable if the trip is primarily business. This may include reasonable baggage fees, seat reservations needed for work travel, and transport to and from airports (taxis, ride shares, trains, parking, or mileage if you drive). If you add personal days that change the cost of the flight—for example, a cheaper fare because you stayed over a weekend—some systems allow you to claim the business trip cost if it does not exceed the business-only alternative, but you should be prepared to justify it with comparable quotes or booking evidence.

Local transport while abroad

Costs of getting between your hotel and business meetings, client sites, conferences, coworking spaces, and similar business locations are usually claimable. This can include public transport, taxis, ride share, car hire (where justified), tolls, and parking. If you hire a car for convenience but there was a cheaper, reasonable alternative, it might still be claimable, but if it looks excessive it may raise questions.

Accommodation

Hotel or other lodging costs are generally claimable when they are necessary for business travel. “Necessary” doesn’t mean the cheapest possible option, but it should be reasonable for the trip. Luxury upgrades, suites, or resort-style accommodation may attract scrutiny if they look inconsistent with business needs.

If you extend the stay for personal reasons, you can often claim only the business nights. If your booking is a single package, it becomes more important to break down the costs clearly (for example, by getting an itemised invoice or booking separate segments).

Meals and subsistence

Meals during business travel are frequently claimable, but rules can be strict. Some jurisdictions allow “reasonable” subsistence when travelling away from your usual workplace, while others limit what can be claimed or have specific rules for per diem allowances. Even when meals are allowed, lavish dining, alcohol-heavy bills, or meals without a clear travel context can be challenged.

Where per diems are available, they can simplify recordkeeping, but you often still need evidence of the travel (dates, location, and business purpose). If you claim actual costs, keep receipts and note who attended if it was a business meal with others.

Conference, event, and training fees

Entry fees for conferences, trade shows, workshops, and training relevant to your business are often claimable. Relevance is important: a conference that is clearly aligned to your industry or role is easier to defend than something tangential. Keep agendas, tickets, registration confirmations, and notes about sessions attended.

Business communications

Extra costs for business phone calls, international roaming, data bundles, temporary SIM cards, and internet access used for work may be claimable. If you use a personal phone plan, it can help to separate business and personal use or claim only the incremental cost attributable to work travel.

Visas, travel documentation, and required insurance

Work visas or entry documentation required for business travel are often claimable if the trip is business-related. Travel insurance can be more nuanced: if it covers business travel and is necessary for the trip, it may be allowable. If it includes personal holiday cover beyond the business trip, you may need to apportion or treat the extra cover as personal.

Incidental expenses

Incidental costs such as tips (where customary), reasonable laundry (especially for longer trips), and small business-related items (for example, printing, stationery, or courier charges) may be claimable. Again, reasonableness and documentation matter.

What overseas travel expenses are usually not claimable?

Even on a legitimate business trip, some expenses are commonly disallowed or restricted. Knowing these ahead of time helps you avoid unpleasant surprises.

Personal sightseeing and entertainment

Museum tickets, tours, theme parks, personal entertainment, and holiday activities are personal expenses. They are generally not claimable, even if they take place during a business trip.

Costs for family members or companions

If a spouse, partner, child, or friend travels with you, their travel, meals, and accommodation costs are usually personal and not claimable. In rare cases, if the companion is also legitimately travelling for business purposes (for example, they are an employee and have a real role on the trip), some costs may be allowable, but this needs strong evidence and a genuine business rationale.

Luxury upgrades without business need

First-class flights, luxury hotels, premium car rentals, and high-end add-ons can be problematic if they appear excessive. Some systems allow a “reasonable” standard and disallow the excess. Even where rules do not explicitly prohibit upgrades, you may need to demonstrate why the choice was justified (for example, medical reasons, long-haul travel with immediate work commitments, or lack of alternatives).

Fines and penalties

Parking tickets, speeding fines, and other penalties are typically not claimable as business expenses, even if incurred during business travel.

Clothing and personal items

General clothing is usually treated as personal, even if you bought it because you needed something to wear at a meeting. Specialist uniforms or protective equipment may be treated differently if they are specifically required for the work and not suitable for everyday wear, but ordinary business attire is often not deductible.

Mixed-purpose travel: how to handle business plus holiday in one trip

Mixed-purpose trips are common: you fly abroad for meetings and then stay on for a weekend, or you schedule a few client visits around a personal trip. The tax treatment often depends on the primary purpose of the trip and whether costs can be reasonably split.

When the trip is mainly business

If the trip is primarily business and you add a small personal element, you can often claim the business-related costs, but you may need to exclude personal costs. For example, if you spend five days on business and add two personal days, you might claim flights (if the flight cost is not increased by the personal extension, or if you can justify the cost), business accommodation nights, business meals, and local transport for business activities. You would exclude the hotel and meals for personal days, sightseeing, and personal transport.

When the trip is mainly personal

If the trip is mainly personal and you add a few business activities, the travel to and from the destination is often treated as personal. You may still be able to claim specific incremental costs that are clearly business-related while you are there (for example, a taxi to a client meeting or a day pass for coworking space), but the major travel costs may be disallowed because the trip would have happened anyway for personal reasons.

Apportioning costs: what is “reasonable”?

Apportionment is the process of splitting costs between business and personal use. What counts as reasonable depends on the facts and how the cost relates to business activity. Common methods include:

By time: Split accommodation by the number of business nights versus personal nights. This is often straightforward when each night can be classified.

By use: Split car hire or transport costs based on mileage or trips that are business-related versus personal.

By incremental cost: Where a cost exists only because of the business activity (for example, a conference ticket), it may be fully business. Where a cost exists because of personal choices (for example, a resort upgrade), that may be personal.

Whatever method you use, consistency matters. If you regularly travel and always split costs the same way, it tends to look more credible than a one-off approach designed to maximise claims.

Bleisure travel: practical examples of what you can and can’t claim

“Bleisure” (business + leisure) is now a common pattern. Below are example scenarios to illustrate typical outcomes, assuming a system that allows business expenses where they are genuinely for business and splits mixed costs.

Example 1: Conference plus weekend extension

You travel from London to Berlin for a three-day industry conference (Thursday to Saturday) and stay until Monday to see the city. You pay for flights, four hotel nights, local transport, and meals. A common approach is to claim conference registration, transport related to the conference, and hotel and meals for the business days/nights. The Sunday and Monday personal costs would be excluded. If the flight price is the same regardless of the extra day, you might claim the flight as business; if staying longer increased the airfare, you might claim only the business-equivalent portion, depending on local rules.

Example 2: Client meetings scheduled around a holiday

You plan a ten-day family holiday in Spain and schedule two client meetings during the trip. In many systems, the holiday is the primary purpose, so airfare and most accommodation are personal. You may be able to claim taxis to the meetings, perhaps a coworking day pass, and other incremental business costs. The presence of two meetings does not automatically convert a holiday into a business trip.

Example 3: Overseas project work with a day off

You travel to a customer site abroad for two weeks of project work and take one day off to go sightseeing. The trip is clearly business. You may still claim flights, accommodation for business nights, and meals, but you should exclude the sightseeing day’s personal expenses (and possibly allocate a portion of local transport if the vehicle was used for personal travel).

Documentation: what you need to prove business travel abroad

For overseas travel, good documentation can be the difference between a straightforward claim and a rejected claim. Strong records also reduce stress if you are ever asked to explain or support the expenses later.

Keep receipts and itemised invoices

Receipts are the basic evidence for most expenses. Itemised hotel invoices are especially useful because they show dates, room rate, taxes, and incidental charges. If you have a package deal, try to obtain a breakdown. If you can’t, keep the booking confirmation and any emails showing the price components.

Maintain a travel itinerary

An itinerary that lists dates, locations, and business activities is very helpful. It can be as simple as a calendar schedule or a document containing meeting times and addresses. If you use a digital calendar, export a PDF of the relevant events.

Evidence the business purpose

Save meeting invitations, conference agendas, tickets, client emails, proposals, contracts, or work orders that show why the travel was necessary. If you visited a supplier, keep correspondence or notes from the visit. If you attended a trade show, keep the exhibitor list or your badge confirmation.

Record who you met and what was discussed

For client entertainment or meals, make a quick note of who attended and the purpose of the meeting. A short description—“Dinner with ABC GmbH procurement team to discuss Q2 contract renewal”—can go a long way.

Track mileage and business use

If you hire a car or use a personal vehicle abroad, record mileage and destinations to support the business portion. A simple log (date, start location, end location, purpose, miles/kilometres) is often sufficient.

Currency, exchange rates, and paying in foreign currency

Overseas travel expenses are often paid in foreign currency, and exchange rates can complicate recordkeeping. The key is consistency and clarity. Many accounting systems let you enter the foreign currency amount and apply an exchange rate automatically. If you are doing it manually, record both the local currency amount and the converted amount used in your accounts, along with the rate source you used (for example, your card statement rate).

Card statements can be useful evidence because they show the actual amount you paid in your home currency, including fees. If your card adds foreign transaction fees, these fees may be claimable as part of the business expense, as long as the underlying spend was business-related.

Per diems vs actual costs: which approach is better?

Some systems allow daily allowances (per diems) for meals and incidentals while travelling. Where permitted, per diems can reduce paperwork and make claims more predictable. However, per diem rules often come with conditions: you may need to be travelling for a minimum duration, staying overnight, or working away from your normal base. There may also be different rates depending on the destination city or country.

Actual cost claims can be more precise, especially if your travel style is modest, but they require more receipts and can be scrutinised more closely if the costs look high. The best approach depends on what is allowed where you pay tax and what your employer or business policy supports.

Combining business travel with remote work: does answering emails abroad make it “business travel”?

A common misconception is that doing any work while abroad turns a personal trip into a business trip. In most cases, simply answering emails, taking calls, or working remotely from a hotel room does not automatically make your flights and accommodation deductible. The relevant question is whether the travel itself was undertaken for business reasons.

If you travel abroad specifically to work—because you need to be on site, meet clients, attend events, or perform duties that require your presence—then the travel is more clearly business-related. If you travelled for personal reasons and happened to work while there, the travel costs are still usually personal.

That said, if you incur incremental costs directly because you are working (for example, a coworking membership for the week, business printing, additional data usage, or shipping equipment), these may be easier to justify as business-related even on a personal trip. The larger costs of the trip are the harder part to convert into claimable business expenses without a clear business driver.

Common red flags that can trigger questions or disallowance

Whether you’re dealing with an employer’s finance team or a tax authority, certain patterns tend to attract attention. Avoiding these red flags can reduce the risk of rejected claims.

Vague descriptions: “Trip to Paris—business development” without any supporting itinerary or meetings can look weak.

High costs with little evidence: Expensive meals, premium hotels, or upgrades without a clear reason can be challenged.

Large personal element: A small amount of business activity during a long holiday often suggests the trip was personal overall.

Family travel charged to the business: Paying for companions without a legitimate business role is a frequent issue.

Inconsistent treatment: Claiming similar expenses differently across trips can look like you are selecting whichever method gives the best result rather than applying a consistent policy.

Tips for making overseas business travel claims smooth and defensible

There are straightforward steps you can take before and during the trip to make claiming expenses much simpler.

Separate business and personal bookings: If you are adding personal days, consider booking accommodation in two segments or ensuring the invoice clearly shows the nightly rate for each date.

Keep a simple travel log: One document that lists travel dates, meeting times, and key business activities can support many different expense categories.

Use a dedicated payment method: If possible, pay business costs using a business card or account. This makes it easier to separate business from personal spend and reduces the risk of missing receipts.

Capture evidence as you go: Save digital copies of receipts immediately. If you wait until you return, receipts go missing and details get forgotten.

Be reasonable: Even if your rules do not explicitly cap spending, reasonableness is often the informal standard. Staying within typical business norms reduces questions.

Special situations: trade shows, scouting trips, and networking events

Some travel purposes fall into grey areas because they involve “future business” rather than immediate revenue.

Trade shows and exhibitions

Trade show travel is often clearly business-related if the event is relevant to your industry and you can show how it supports your business (lead generation, supplier sourcing, market research, product launches). Keep the agenda, exhibitor list, your badge, and notes of meetings.

Scouting and exploratory trips

If you travel abroad to explore opening a new office, assessing a new market, or evaluating suppliers, you may be able to claim costs if the trip is genuinely business-motivated. However, some systems treat “pre-trading” or “capital” costs differently from routine operating expenses. It’s worth getting advice on how these costs should be recorded, especially if they relate to setting up a new venture or significant expansion.

Networking events

Networking can be a legitimate business purpose, but it can also look like leisure if it’s not well documented. If you travel to attend a structured networking event, keep the event ticket, programme, and evidence of attendance. If networking is informal, make sure you can demonstrate a business reason for being there beyond general socialising.

How long can you travel for and still claim it as business?

There is no universal “maximum length,” but longer trips often raise more questions, especially if business activity appears sporadic. If you spend three weeks abroad but only have two meetings, it may be difficult to justify the entire trip as business travel.

Where a trip is long because of the nature of the work—such as delivering a project, supporting a client rollout, or attending a multi-week training programme—it is easier to justify, particularly if there is a schedule and evidence of daily work activity. If you extend a trip significantly for personal reasons, keep clear separation in your records and costs.

What about combining multiple business purposes in one trip?

Sometimes you travel abroad and accomplish several business goals: meeting clients, visiting suppliers, attending a conference, and interviewing candidates. Multiple business purposes can actually strengthen the case that the trip is business-related, as long as you can document them. In these scenarios, it is helpful to keep an itinerary and supporting evidence for each component of the trip so the overall narrative is coherent: the business sent you (or you went as the business owner) to achieve specific outcomes, and the expenses flowed from that.

Claiming expenses when you are reimbursed by a client

If you invoice a client for travel costs, you still need to consider how the expenses are treated in your accounts. In many cases, reimbursed expenses are still recorded as business costs, with the reimbursement recorded as income (or as a pass-through depending on the accounting approach and local rules). The key is consistency: the expenses should be supported and clearly linked to the client work, and the invoicing should match what was agreed.

If a client pays directly for flights or hotels, you may not be able to claim those costs because you did not incur them. However, you might still claim incidental costs you paid yourself. Keep a clear record of who paid for what.

VAT, GST, and sales taxes on overseas travel expenses

Indirect taxes add another layer. In many systems, domestic VAT/GST rules may limit recovery on certain costs like meals, entertainment, or passenger transport. When the expense is overseas, you might not be able to reclaim foreign taxes through your usual return, but some countries have refund schemes for foreign businesses (often with strict rules, deadlines, and minimum claim amounts).

If indirect tax recovery matters to you, it’s worth keeping invoices that meet the requirements and checking whether you are eligible for any refund mechanism. For small businesses, the effort may outweigh the benefit, but for frequent travellers or higher spend, it can be significant.

Putting it all together: a simple checklist before you claim

Before you submit or record overseas business travel expenses, run through a practical checklist:

1) Was the trip primarily for business? If yes, proceed. If no, focus only on incremental business costs.

2) Do you have evidence of the business purpose? Meetings, agendas, tickets, contracts, emails, or a written itinerary.

3) Are the costs reasonable? Consider whether a neutral observer would see them as normal business travel spending.

4) Are mixed costs clearly split? Separate personal nights, personal transport, and companion costs.

5) Are receipts and invoices complete? Itemised where possible, with dates and supplier details.

6) Is the accounting treatment correct? Especially if you are a company director or if the trip involved pre-trading activity or client reimbursements.

Final thoughts: yes, you often can claim—if you can prove it’s business

In many cases, you can claim expenses for business travel abroad, but the claim is only as strong as the story and the documentation behind it. Clear business purpose, reasonable spending, and good records are the pillars of a defensible claim. Mixed-purpose travel is not automatically disallowed, but it requires careful splitting of costs and a realistic view of what the trip was truly for.

If you travel abroad regularly or your trips are complex—mixing business with personal time, involving multiple destinations, or including companions—it’s often worth setting a consistent policy for yourself or your business. A simple routine (itinerary, receipts, clear segmentation of personal days) can make overseas travel claims far easier and reduce the risk of errors. When in doubt, treat borderline costs cautiously and get professional guidance specific to your tax jurisdiction and business structure.