Need help selecting a firm?

Tell us about your project and get introduced to the best accounting and tax firm for your needs.

Get Started

Business Entertainment Tax Deduction

Discover IRS rules for taking business entertainment expenses as a tax deduction. The regulation for this changed with the Tax Cuts & Jobs Act of 2017. Under the TCJA, after December 31, 2017, no deduction is allowed with respect to:

  1. An activity generally considered to be entertainment, amusement, or recreation
  2. Membership dues with respect to any club organized for business, pleasure, recreation, or other social purposes, or
  3. A facility or portion thereof used in connection with any of the above items. (IRC Sec. 274(a))

Thus, no deductions are allowed for the cost of such activities as golf outings, fishing trips, sporting events, concerts, etc., with clients or business associates, even if business is discussed.

TaxBuzz Guides