Upcoming Changes to Meals and Entertainment Deductions in 2025

Dr Friday Tax Tips - One Minute Moment
Dr. Friday Tax Tips
Upcoming Changes to Meals and Entertainment Deductions in 2025
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In this episode, Dr. Friday discusses the significant tax changes set to take place after 2025, specifically regarding the meals and entertainment deduction. Currently, businesses can claim a 50% deduction for client meals and entertainment expenses. However, this deduction is slated to drop to zero at the end of 2025 unless the tax laws are extended. Dr. Friday advises businesses to stay informed about these changes and consider how they may affect future tax planning.

Transcript:

G’day I’m Dr. Friday, president of Dr. Friday’s Tax and Financial Firm. To get more info, go to www.drfriday.com. This is a one-minute moment.

I haven’t really brought up a lot about the tax changes that’s gonna happen after the end of 2025 but one of the big ones that’s actually not been extended is meals so right now you have a 50% deduction if you use meals and entertainment to take out clients at the end of 2025 that goes to zero unless you change your tax situation or unless they extend I should say that tax situation we have no control unless you think about who you’re voting for other than that you have to deal with what the tax code is again meals and entertainment will go to zero at the end of 2025 not a good tax cut.

You can catch the Dr. Friday call-in show live every Saturday afternoon from 2 to 3 p.m. right here on 99.7 WTN.