christmas party deductible?

[theresa d]

a small corp has a christmas luncheon for employees. is this deductible as entertainment subject to 50%? confused as no business discussion involved.

[New York Enrolled Agent]

I think it should be deductible in FULL under the exception in §274(n) for de minimis fringes.

[Kram BergGold]

agree

I would take a 100% deduction.

[Jesse]

agree 100%

This too from a prior post:

.......... 100% deduction for the Xmas party is allowed under IRC 274(e)(4) and 274(n)(2)(A)

Also, Reg 1.274-2(f)(2)(v) says:
"Ordinarily, this exception applies to usual employee benefit programs such as expenses of a taxpayer (a) in holding Christmas parties, annual picnics, or summer outings, for his employees generally, or (b) of maintaining a swimming pool, baseball diamond, bowling alley, or golf course available to his employees generally"

.........!

[theresa d]

thanks

for the responses. i thought i read something about christmas parties but could remember where. i appreciate the quick responses.