Allocating entertainment expenses

SThorntonNZ
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Allocating entertainment expenses

Hi everyone,

I wish to allocate my entertainment expenses and can not find a tab for this in the drop down menu in MYOB Essentials. Does anyone know how best to allocate these expenses?

With thanks and warm regards

Sarah

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Ultimate Partner Seattle
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Ultimate Partner
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Re: Allocating entertainment expenses

@SThorntonNZ

 

In Australia, Entertainment is not a tax deduction and should be entered in Other Expenses.

 

There are instances where meals might be a tax deduction.

Light Meals with a Client, Sustenance when working late, travel etc

Light Meals and Sustenance may be included in Office Supplies.

Reasonableness is important.

 

As always, confirm the above with your Tax Accountant.

 

Duncan

Duncan Smith
Business Advice + Tax
Helping business owners build a better business since 1998
E expressgst@optusnet.com.au T 02 9904 3672 7 days
SThorntonNZ
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SThorntonNZ

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Re: Allocating entertainment expenses

Hi Duncan,

 

Warm thanks for your swift reply.

 

I reside in NZ, where entertainment expenses are 50% deductible. Therefore, am I right in thinking that I can simply allocate these expenses under the category Other Expenses? 

 

I often meet with clients in cafes and restaurants and any expenses incurred are always reasonable.

 

I have already asked my accountant about how best to allocate these expenses and am waiting to hear back.

 

With thanks and kind regards

Sarah

Ultimate Partner Seattle
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Re: Allocating entertainment expenses

@SThorntonNZ

 

Let us know what your Accountant thinks.

 

It is interesting that Entertainment is 50% deductible in NZ.

 

I would have a ledger called Client Meals or Office Supplies - Meetings.

Some of my clients are advertising people and they sometimes wish to claim more than what I consider reasonable - at least the big lunches have disappeared over time..

 

Duncan

Duncan Smith
Business Advice + Tax
Helping business owners build a better business since 1998
E expressgst@optusnet.com.au T 02 9904 3672 7 days
SThorntonNZ
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SThorntonNZ

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Re: Allocating entertainment expenses

Hi Duncan,

 

Warm thanks for your advice. 

 

I talked to an MYOB support service representative today, about another matter, and with her help was able to create a new category called Entertainment. Phew. 

 

Enjoy the festive season and holiday.

 

All best

Sarah

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