Meals & Entertainment Expenses

The deductibility of meals and entertainment expenses is as follows:

  • Entertainment: Not Deductible
  • Business Meals: 50% Deductible (must be: ordinary & necessary; provided to or for a (potential) customer/client; related to or associated with active conduct of the trade or business)
  • Travel Meals: 50% Deductible (must be: overnight; away from tax home)
  • Meeting Meals: 50% Deductible (meals provided by employer to employees for overtime or meal-time meetings)
  • Office Party / Event: 100% Deductible