Entertainment Expense Deduction

A reduction in one's income for purposes of calculating one's income tax. The entertainment expense deduction is equal to up to 50% of what a business spends in the course of buying meals for or otherwise entertaining a client, customer, or employee. In order to be eligible for the deduction, one must be able to prove that one conducted business with the person being entertained.

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Travel and Entertainment Expense Deduction

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The IRS issued guidance clarifying that taxpayers may generally continue to deduct 50% of the food and beverage expenses associated with operating their trade or business, despite changes to the meal and entertainment expense deduction under Sec.

Meals continue to be deductible under IRS guidance: Advance guidance clarifies that the TCJA's disallowance of deductions for entertainment, amusement, or recreation does not address business meals

The tab (well under a billion dollars) could be paid by ending free postage for incumbents' self-promotional mailings ($100 million); eliminating the tax deduction for lobbying expenses (another $100 million); and reducing the 80 percent entertainment expense deduction, well-used by lobbyists, to 75 percent ($600 million more).

No compromise on corruption

162(m) limits on deductions for executive compensation, cases involving voluntary employees' benefit association (VEBA) and deferred compensation deductions, IRS guidance relating to travel and entertainment expense deductions, developments under the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) regulations and the new "Nanny" tax provisions.

Current developments in employee benefits

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