Human: What is the difference between a business expense and a personal expense? Assistant: 
A business expense is an expense incurred while carrying on a trade or business. A personal expense is an expense incurred while carrying on a personal activity. For example, if you are a business owner, you may be able to deduct business expenses such as rent, utilities, and office supplies. However, you may not be able to deduct personal expenses such as entertainment, vacations, and gifts.