Hi !
As a business owner, you know that every dollar counts. That’s why taking advantage of all the tax deductions you’re eligible for, including the 100% deduction for employee entertainment, is important.
THAT’S RIGHT!
You can deduct the full cost of your next team party from your taxes! But there are a few rules you need to follow to qualify for the deduction.
Here’s what you need to know:
- The entertainment must be primarily for the benefit of your employees. It means that more than 50% of the attendees must be employees.
- The entertainment must be reasonable and necessary for your business. It means that the party must be related to your business activities, and the cost must be reasonable.
- You must keep good records. You need to prove that the entertainment expense meets all the IRS requirements.
Here are some tips for planning a tax-deductible team party:
- Choose a location that is convenient for your employees and appropriate for your group’s size.
- Keep track of the number of employees who attend the party and their job titles.
- SAVE ALL YOUR RECEIPTS!
With a little planning, you can throw a fun and festive party for your employees while reducing your tax liability, especially for the upcoming Holidays. Schedule your tax assessment today by clicking here, replying to this email, or calling us at (408) 708-9330.