Meals and Entertainment Analysis

Maximizing Tax Deductions For Entertainment Expenses

The meals and entertainment deduction has long been an area of scrutiny and controversy between IRS and taxpayers. The Tax Cuts and Jobs Act (TCJA) modified what could be considered deductible under these provisions.

Reviewing company policy and expenditures running through the meals and entertainment account can assist in compliance and potentially minimize future controversy with the IRS. In addition, understanding the nuances of the definitions that allow for deductions can help maximize benefit.

By utilizing a tax consultant to understand the types of expenditures that traditionally run through your meals and entertainment expenses and how these changes may impact your tax position as well as knowing the planning strategies to maximize benefit.

**The Consolidated Appropriations legislation suspended the 50% limitation for business meal deductions for meals provided by restaurants in 2021 and 2022. In addition, final regulations (TD 9939) were released on December 9, 2020 that provide additional clarity on qualified transportation fringe benefits as well as some additional methodologies for computing disallowed expenses related to parking costs.

Let's Start a Conversation

Julie Helms, CPA | Director, Specialty Tax Services

The Lurie Difference: A Streamlined Process

Lurie’s Specialty Tax Services advisors offer unique tax savings and reduction strategies for businesses and their tax concerns. The team works closely with you and your service partners to provide counsel and execution on matters that extend far beyond compliance. This close collaboration provides not only coordinated, seamless service with specialists who have deep expertise, but also delivers true dollar cost savings. Here is what to expect: 

We Examine Your Indicators

Companies with significant meals and entertainment expenses

We Help You Uncover Benefits

Review of meals and entertainment expenses and policies to maximize deductions under the new tax law

Questions? Let's start a conversation.

Latest Tax Credit & Incentive Insights

Learn more about our team’s expertise and innovative ways we are helping businesses and organizations expand opportunities through strategic tax planning.