The Tax Cuts and Jobs Act Affects Meals and Entertainment Deductions

Under new law (P.L. 115-97), the deductibility of business-related meals and entertainment expenses was changed.

Previous law authorized businesses to deduct 50 percent of business meals and entertainment, and 100 percent of mealsprovided through in-house cafes, meals provided at the convenience of the employer, and “de minimis” fringe meals. However,under new law, the deduction for entertainment was eliminated and the deductibility of certain meals are now limited wherepreviously there was not a limit.

Does your business dine with or entertain customers, clients or vendors, provide meals and travel expenses to employees, holdoffice parties and celebrations for employees, and events for customers? Understand the changes to these deductions in our side-by-side comparison of previous and present law.


Haley Roberts, Manager | DHG Tax


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