Can Holiday Parties Be Tax Deductible

Motivate your employees with a party. Holiday parties are completely tax deductible if all employees are invited. Clients could be invited as well. The limit is six such events per year.

Do not exceed $150 per person per such events otherwise it will be taxable to employees attending the event as taxable benefit. Additional costs such as transportation home, taxi fare, and overnight accommodation are not included in the $150 per person limit.