Meals Expense Deduction 2025. The general rule has been and continues to be that entertainment expenses are nondeductible, and meal expenses are 50% deductible if they are not excessive. Once this test is established, the expense falls into two categories:

Effective january 1, 2026, new §274(o) provides that no deduction is allowed for any expense for a de. In this article we have discussed income tax deduction available to taxpayers from various sources of income for a.y.