Question
Mary is an insurance salesperson and a member of the Country Club. During 2009, Mary used the club 40% for entertaining clients (directly-related use) and
Mary is an insurance salesperson and a member of the Country Club. During 2009, Mary used the club 40% for entertaining clients (directly-related use) and 60% for pleasure. She incurred the following expenses at the Country Club:
| Country Club Annual dues | $8,000 |
| Business meals | 1,500 |
| Personal meals | 2,000 |
| Tennis court fees for games (business use entertainment) | 500 |
Calculate the amount that Mary is allowed to deduct as entertainment expense.
HINT: Use IRS Pub 463, Chp 2, P 12- 13 for a guide.
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Audit Committee And Audit Quality
Authors: AMINU ALKASIM FAGO, ENIOLA SAMUEL AGBI, MOHAMMED NMA AHMED
1st Edition
6204209868, 978-6204209869
