Can entertainment expenses be deductible in these cases: rock concerts if you're a manager of a rock band and have to go to concerts to evaluate the market (studying sounds, acoustics, clientele). Anything else?
Can meals be deductible in full for these cases: dog food if you're a dog walker, food for children if you're a daycare worker. Anything else?
In fact, the IRS could argue that your claims and actions are not ordinary or necessary for the buisness.
In both those cases you are, hopefully, charging your clients (the owners of the dogs and kids) a fee for those services. Both would be considered ordinary and necessary (if not required by law).
But those situations are not "meals and entertainment" as the code defines it.
Don't you remember the stories of older Americans in the 1980's eating pet food because all they got was Social Security and couldn't afford real food? It happened and may be happening again.
You could: Stand outside and take a survey of patrons entering or exiting the establishment. Call and ask the band performing that night how ~they~ marketed their show. Call and ask the venue what marketing ~they~ do to promote the show. Find out what radio stations and entertainment publications cater to your band's audience demographics in that area.
Some of that - hell - most of that can be done from your desk. And if you absolutely had to go to that venue, you didn't have to go in to the show of some other band to get what you needed to know.
If you don't know how to market/promote the bands you promote/manage, then you should let the band know you don't know how to help them.
Do you really have to go see the other band perform their entire set to get that information? Do you have to have a dozen beers to get that data? Did you have to travel that far and spend the night to glean some nuggets of information that may or may not help promote your bands show?
And you would expect them to share this valuable information with a competitor?
The venue usually gets a flat rate plus concessions. Your manager markets, the venue does not.
OK, you have one there. Now you know who will want your advertising money, but you will not know there effectiveness.
Again, how would he evaluate the acoustics of the venue?
That is somewhat harsh. Consider that college and professional scouts attend high school, college, semi=pro, and professional games to evaluate players, field conditions, etc. And that is
100% deductible - except for the beer!
As long as you are there, why leave before it is over?
The beer is a distracter. How did it get into this thread?
Who said he was traveling far and spending the night? But if he does do that, it may or may not be reasonable.
If the auditor questions it, the only way to win is to have detailed documentation of what you did and what you did with the results. Quality recordkeeping and a straight face are your best defenses against an auditor.
If they'll talk to me; they won't on their way in, and they're too drunk on their way out.
That says what they did, not which parts of it *worked*.
See above.
But it helped.
If you think you know everything already without any market research, I don't want to hire you for anything I care about that involves selling to the public.
They wouldn't sell me a discount ticket for half a set.
In my professional opinion, it was worth the effort.
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