In Order to Deduct a Portion of the Cost of a Business

question 80

Multiple Choice

In order to deduct a portion of the cost of a business meal which of the following conditions must be met?

• A) A client (not a supplier or vendor) must be present at the meal.
• B) The taxpayer or an employee must be present at the meal.
• C) The meal must occur on the taxpayer's business premises.
• D) None of these is a condition for a deduction.
• E) All of these are conditions for a deduction.

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Definitions:

Karyogamy

The final phase of the sexual cycle of fungi and algae, where the nuclei of two mating types or gametes fuse together to form a zygote.

Basidium

A microscopic, spore-producing structure found on the gills under the cap of a mushroom, characteristic of Basidiomycota fungi.

Mushrooms

Fungi that produce a fruiting body above or on the surface of soil, commonly edible and known for their variety in form and biological properties.

Blastospores

A type of spore produced by some fungi and protozoans during asexual reproduction, serving as an agent for dissemination.