Friday, April 1, 2011

Deducting Meals and Entertainment Without Getting Audited

http://commercialloans2011.blogspot.com

Some of the biggest business decisions and connections that business owners make are done over lunches or on the golf course. My business partner and I find that going to lunch is a great way to get out of the hustle and bustle of the office so we can clear our heads and discuss everything from the management of our office staff to specific tax issues there may be with our clients. We often take potential clients out to eat to get to know them better and to see if they want to use us as their accountants. This is great for us because one of the best ways we grow our business is through networking, and a good way to get into networks is to take people out on the golf course or out for a nice meal.

Using meals and entertainment to build business is very common to most business owners. The important thing to remember is to keep accurate records, so as you are using different meals and entertainment to grow, expand, and maintain your business, you can also use these expenses as tax deductions. The IRS has specific rules and specific things they want you to record in order to correctly document meals and entertainment so that they can be tax deductible. That is why keeping accurate records is so important. The last thing you want is to be audited for a golf game.

The meals and entertainment deduction is only one of the many overlooked tax deductions that people are missing out on. There are so many more deductions available--more than you realize. And you don't have to have a technical knowledge of the tax system.

Some of the biggest business decisions and connections that business owners make are done over lunches or on the golf course. My business partner and I find that going to lunch is a great way to get out of the hustle and bustle of the office so we can clear our heads and discuss everything from the management of our office staff to specific tax issues there may be with our clients. We often take potential clients out to eat to get to know them better and to see if they want to use us as their accountants. This is great for us because one of the best ways we grow our business is through networking, and a good way to get into networks is to take people out on the golf course or out for a nice meal.

Using meals and entertainment to build business is very common to most business owners. The important thing to remember is to keep accurate records, so as you are using different meals and entertainment to grow, expand, and maintain your business, you can also use these expenses as tax deductions. The IRS has specific rules and specific things they want you to record in order to correctly document meals and entertainment so that they can be tax deductible. That is why keeping accurate records is so important. The last thing you want is to be audited for a golf game.

The meals and entertainment deduction is only one of the many overlooked tax deductions that people are missing out on. There are so many more deductions available--more than you realize. And you don't have to have a technical knowledge of the tax system.

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