I recently started a new sales job that requires me to entertain clients and to meet them for dinner and lunch. In the case that the client pays for their share of the meal, am I allowed to deduct my portion of the expense?

ANSWER

The BIDaWIZ Team's Answer:

Are you reimbursed by your employer? If not, then this would be considered an unreimbursed employee expense for tax purposes. As such, you would be eligible to deduct 50% of the meal and entertainment expense on Schedule A of your Form 1040. It is important to note that these expenses coupled with your other related costs are only deductible if they exceed 2% of your adjusted gross income. This is referenced in IRS Publication 463 and IRC Section 274(n).