Meals & Entertainment
This seems to be the most confusing expense claimed by business owners.
The maximum claim for food, beverages, and entertainment expenses is 50% of the lesser of the following amounts:
the amount you incurred for the expenses
an amount that is reasonable in the circumstances
When you claim Meals & Entertainment expenses, you will have to calculate the allowable part for business use.
These limits also apply to the cost of your meals when you travel or go to a convention, conference, or similar event. However, special rules can affect your claim for meals in these cases.
For more information, go to Line 9200 – Travel expenses and Convention expenses.