LIMITATION OF TRAVEL ALLOCATION REQUIREMENT TO FOREIGN TRAVEL.

SEC. 217. LIMITATION OF TRAVEL ALLOCATION REQUIREMENT TO FOREIGN TRAVEL. (a) Limitation of Application of Section 274(c).—Section 274 (c) (relating to traveling) is amended to read as follows: “(c) Certain Foreign Travel.— “(1) In general.—In the case of any individual who travels outside the United States away from home in pursuit of a trade or business or in pursuit of an activity described in section 212, no deduction shall be allowed under section 162 or section 212 for that portion of the expenses of such travel otherwise allowable under such section which, under regulations prescribed by the Secretary or his delegate, is not allocable to such trade or business or to such activity. 78 Stat. 57 “(2) Exception.—Paragraph (1) shall not apply to the expenses of any travel outside the United States away from home if— “(A) such travel does not exceed one week, or “(B) the portion of the time of travel outside the United States away from home which is not attributable to the pursuit of the taxpayer’s trade or business or an activity described in section 212 is less than 25 percent of the total time on such travel. “(3) Domestic travel excluded.—For purposes of this subsection, travel outside the United States does not include any travel from one point in the United States to another point in the United States.” . (b) Effective Date.—The amendment made by subsection (a) shall apply with respect to taxable years ending after December 31, 1962, but only in respect of periods after such date.