Are your cocktail hour expenses deductible?
Turns out, they can be!
As we approach the end of the week and some of you are heading to your local brewery, make sure to ask yourself whether those drinks could be deductible…
Here's the rule of thumb:
Make sure you meet with a business relationship of some sort. You must buy both your drinks and your employees. There must be a business discussion held during your time together.
The other factor is that it must be an ORDINARY and necessary expense, which means a couple drinks are absolutely acceptable, but downing tequila shots certainly doesn’t fall under that category.
Remember, if you need a great bookkeeping/accounting team behind your business, give us a call.