Article Date:
January 2018


Word Count:
825

 

 

Tax Reform Cuts Deductions for Employee Meals to 50 Percent


Tax reform (Public Law 115-97) includes winners and losers.1

 

Employers who for their convenience provided business meals for their employees are losers—50 percent losers to start and then total losers later.

 

Meal costs that were 100 percent deductible for perhaps a half century or more are now limited to 50 percent, and that 50 percent becomes a big fat zero deduction beginning January 1, 2026.2

 

Employee meals that were 100 percent but are now 50 percent deductible beginning January 1, 2018, include

 

·

meals served at required business meetings on your business premises;

·

meals served at required business meetings in a hotel or other meeting place that passes the test for business premises but is located outside of the office;

·

meals served to employees who are required to staff their positions during breakfast, lunch, and/or ... Log in to view full article.

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