Entertainment and business meals


P

pleasedontemailme

My employer requires certain information for entertainment and
business meals reimbursed under our accountable plan, including the
names and affiliations of all the attendees.

I've recently been challenged on this rule, maily because the host
can't remember the names. I checked the IRS publications trying to
find a paragraph I could quote as an authoritative source.... but to
no avail. I can't fine anything in their publications that says you
must list the attendees' names.

I suspect I'm just missing it, so if anyone could help me out I'd
appreciate it.
 
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P

Paul Thomas

My employer requires certain information for entertainment and
business meals reimbursed under our accountable plan, including the
names and affiliations of all the attendees.

I've recently been challenged on this rule, maily because the host
can't remember the names. I checked the IRS publications trying to
find a paragraph I could quote as an authoritative source.... but to
no avail. I can't fine anything in their publications that says you
must list the attendees' names.

I suspect I'm just missing it, so if anyone could help me out I'd
appreciate it.


Think about this. You're the employer, being asked to fork over a sum of
money for a dinner partay followed by a heavy night of drinking at strip
clubs. Wouldn't you demand to know who it was that was entertained on your
dime?





Besides, it's hiding in plain sight.

From Publication 17
http://www.irs.gov/publications/p17/ch26.html#publink100034466

Adequate Accounting
One of the rules for an accountable plan is that you must adequately account
to your employer for your expenses. You adequately account by giving your
employer a statement of expense, an account book, a diary, or a similar
record in which you entered each expense at or near the time you had it,
along with documentary evidence (such as receipts) of your travel, mileage,
and other employee business expenses. (See Table 26-2, [BELOW], for details
you need to enter in your record and documents you need to prove certain
expenses.)

Table 26-2. How To Prove Certain Business Expenses

Entertainment
Cost of each separate expense.
Incidental expenses such as taxis, telephones, etc., may be totaled on a
daily basis.
Date of entertainment. (Also see Business Purpose.)
Name and address or location of place of entertainment.
Type of entertainment if not otherwise apparent. (Also see Business
Purpose.)
Purpose: Business purpose for the expense or the business benefit gained or
expected to be gained.
For entertainment, the nature of the business discussion or activity.
If the entertainment was directly before or after a business discussion: the
date, place, nature, and duration of the business discussion,



"My Peeps" don't count.

"Prospects" don't count.

"Jack Daniels", "Evan Williams", "Ron Bacardi" and "Johnnie Walker" don't
count.
 
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