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Robin D.
Robin D., Senior Tax Advisor 4
Category: Tax
Satisfied Customers: 15715
Experience:  15years with H & R Block. Divisional leader, Instructor
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I have a client who owns a restaurant. She gives her

Customer Question

I have a client who owns a restaurant. She gives her employees free meals. She hasn't included this in their income, but she wants to deduct the cost of the meals. Can she do this since she is already deducting the cost of the food as an expense
JA: The Accountant will know how to help. Is there anything else the Accountant should be aware of?
Customer: no
Submitted: 3 months ago.
Category: Tax
Expert:  Robin D. replied 3 months ago.

Hello, I'm Robin. Welcome to JustAnswer. I'm reviewing your question now and typing up my reply. I'll post that in just a few moments.

Expert:  Robin D. replied 3 months ago.

Meals furnished to employees at the work site when you operate a restaurant or catering service are deductible even if the employee does not have the amount added to their wages.

The amount of the meal is not just the cost of the unprepared food.

https://www.irs.gov/publications/p535/ch02.html#en_US_2016_publink1000208666