Tag Archive for Business Gifts

Deducting Business Gifts And Local Transportation Expenses That You Incur On Your Job

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Business Gifts

If the nature of your job requires you to give gifts to customers, the cost of gifts given directly or indirectly to a customer is deductible up to a maximum limit. The following rules apply to gifts:

• You cannot claim a gift deduction of more than $25 per person. (Incidental costs, such as engraving on jewelry, or packaging and mailing, are not included in determining the cost of the gift).
• A gift to a customer’s family member is considered an indirect gift to that customer.
• If both spouses give gifts, they are treated as one taxpayer with one $25 limit per Read more