January highlights from The MWE Advisor: A new law allows 100% federal income tax deductions for the cost of business-related meals provided by restaurants in 2021 and 2022; Wage costs rise in many states in 2021.
Ways to Fully Deduct Business-Related Meals
There’s good news for restaurants that have struggled during the COVID-19 crisis: A new law allows 100% federal income tax deductions for the cost of business-related meals provided by restaurants in 2021 and 2022. And preexisting federal tax breaks are available for certain food, beverage and entertainment costs, as clarified by recently issued IRS regulations. Read More
Wage Costs Rise in Many States in 2021
Wages represent the highest expense category for most companies. When a significant jump in wage costs occurs because of external forces, such as legislative action, the effect can be disruptive. Many employers face such a prospect now that half of states have passed legislation to raise the minimum wage in coming months. Combined with the economic downturn triggered by COVID-19, this poses a major challenge for business owners. Read More