Meal expenses
While not reflected on 2020 returns, some taxpayers will be happy that the three-martini lunch is back. A 100 percent business deduction (rather than the current 50 percent) is allowed for business meals as long as the expense is for food or beverages provided by a restaurant. This is effective for expenses incurred after Dec. 31, 2020, and expires at the end of 2022.
Note: this does not affect your Chart of Accounts for Government Contractors and meeting DCAA requirements.