Jerry works in the human resources department at Ajax Corporation. One of his responsibilities is to interview prospective employees. Two or three days a week, Jerry takes a prospective employee to lunch, and Ajax reimburses him for the cost of the meals. What tax issues should Jerry and Ajax Corporation consider? Please be detailed in discussing both Jerry and his employer, and, as always, cite the applicable sections of the IRC or other tax authority.

I will only give 5 stars if the best responce answers all parts of the above problem.