Did you know… The deductible cuppa

Providing morning and afternoon teas and light refreshments to employees (or their “associates”) at the employer’s business premises or work site is tax-deductible to the employer.   The same applies if the business provides such refreshments to visitors.

The Australian Taxation Office has ruled that this is not “entertainment”. If the business has no employees (for example, a partnership), claims for light refreshments are not allowed unless they are also provided to visitors.

DISCLAIMER:All information provided in this publication is of a general nature only and is not personal financial or investment advice. It does not take into account your particular objectives and circumstances. No person should act on the basis of this information without first obtaining and following the advice of a suitably qualified professional advisor. To the fullest extent permitted by law, no person involved in producing, distributing or providing the information in this publication (including Taxpayers Australia Incorporated, each of its directors, councilors, employees and contractors and the editors or authors of the information) will be liable in any way for any loss or damage suffered by any person through the use of or access to this information. The Copyright is owned exclusively by Taxpayers Australia Inc (ABN 96 075 950 284).