Each year I’ll have several clients roll up with some pretty hefty receipts for what they will call “client gifts”. They are usually shocked to hear that there is a $25.00 limit on such gifts. Meals and entertainment will usually yield you a greater deduction, if you can swing it that way. Here it is in a nut shell.

Packaged Food: If you give packaged food or drink to a business associate, where the item is intended to be consumed at a later time, it is a gift. Continue reading →