Question: I heard under the new tax bill, many of the business-related meal, entertainment deductions are gone, is that true?
Answer: Meal and entertainment deduction has always been a complex tax area. The Tax Cuts and Jobs Act of 2017 (TCJA) are more stringent than before. It modified or eliminated some meal and entertainments deductions for transactions after 2017. Now with the new rules, business owners are more confused than ever.
Here are the clarifications of the tax treatment of some of the M & E related deductions: