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Deductions & credits
Those are deductible to your business, however, the deduction is limited to 50%. Meals can be deducted as a business expense if they are directly related or associated with the active conduct of a trade or business (with a valid purpose and documentation). Once this test is established, the expense falls into two categories: 50 percent deductible or 100 percent deductible. For more details on these categories, please see this summary of changes finalized in 2020. When you enter these expenses on your business return, there will be 2 separate categories.
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March 12, 2021
3:20 PM
1,236 Views