In January 2021, the Treasury Department and the IRS issued a notice of a temporary exception to the 50% limit on the amount that businesses may deduct for food or beverages.  From then through December 31, 2022, businesses can claim 100% of their food and beverage expenses paid to restaurants, provided the business owner or one of its employees is present when food or beverages are served, and the expense is not lavish or extravagant under the circumstances.  Note that restaurants do not include businesses that primarily sell pre-packaged goods not for immediate consumption, such as grocery stores and convenience stores.

Spring has sprung, the pandemic has slowed down, and people are looking for ways to get out and be social again. Consider taking more clients and prospects out to lunch or dinner to talk about business. There might not be another chance to do it with a 100% write off. If you are not counting calories, desserts and drinks also fall into this category; tips are fully deductible too.