IRS Notice 2018-76, Expenses for Business Meals Under § 274 of the Internal Revenue Code
Under this notice, taxpayers may deduct 50 percent of an otherwise allowable business meal expense if:
1. The expense is an ordinary and necessary expense under § 162(a) paid or incurred during the taxable year in carrying on any trade or business;
2. The expense is not lavish or extravagant under the circumstances;
3. The taxpayer, or an employee of the taxpayer, is present at the furnishing of the food or beverages;
4. The food and beverages are provided to a current or potential business customer, client, consultant, or similar business contact; and
5. In the case of food and beverages provided during or at an entertainment activity, the food and beverages are purchased separately from the entertainment, or the cost of the food and beverages is stated separately from the cost of the entertainment on one or more bills, invoices, or receipts.
The entertainment disallowance rule may not be circumvented through inflating the amount charged for food and beverages.
The security of our client's information is a primary objective!
Currently open Monday through Friday 9:00 AM to 3:00 PM