It’s that time of year when people start planning company holiday parties, here’s what you need to know to keep things tax-deductible:
Make sure your holiday party is primarily for the benefit of, and open to, ALL employees (you can include your employee’s spouses). Don’t forget to keep receipts documenting the date, time, location, amount, attendees, and purpose of your holiday party expenses. And last, but certainly not least, make sure your expenses would not be considered extravagant or lavish.
When in doubt, check with your tax accountant to ensure you understand the tax implications of your holiday party expenses!
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