2023 Deductible Meals & Entertainment

As of January 1, 2023, meals and entertainment deductible expenses revert back to the tax rules prior to 2021. The Consolidated Appropriations Act of 2021 temporarily increased some these deductions for 2021 and 2022 tax years to 100% deductibility. For tax year 2023, these deductions reduce back to 50% deductibility.

2023 Deductible Meals & Entertainment

Expense 2021-2022 Federal2021-2022 WI2023 Federal2023 WI
Entertaining clients (concert tickets, golf, games, etc.)No longer deductible50% DeductibleNo longer Deductible50% Deductible
Business-related meals (with clients)100% Deductible50% Deductible50% Deductible50% Deductible
Office snacks, water, and coffee50% Deductible50% Deductible50% Deductible50% Deductible
Office meals for employees (at a conference, a board meeting) 100% Deductible50% Deductible50% Deductible50% Deductible
Meals at seminars or conferences100% Deductible50% Deductible50% Deductible50% Deductible
Dinner provided for employees working late (if takeout or delivery by a restaurant)100% Deductible50% Deductible50% Deductible50% Deductible
Business meals while traveling100% Deductible50% Deductible50% Deductible50% Deductible
Snacks and drinks provided free of charge for the public100% Deductible100% Deductible100% Deductible100% Deductible
Meals included as taxable compensation to employees and included on the W-2100% Deductible100% Deductible100% Deductible100% Deductible
Events for employees (company-wide party)100% Deductible100% Deductible100% Deductible100% Deductible

 

 

 

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