Club Dues

Club Dues

Club Dues means:
membership fees. No deduction is permitted after 1993- Earlier, deduction was permitted for club dues if the taxpayer establishes that the club is used primarily for the furtherance of his or her trade or business. After this test is met, the taxpayer may then deduct only that portion of the dues that qualifies as “directly related” to the active conduct of such trade or business. No deduction is permitted for an initiation or similar fee that is payable only upon joining a club if the useful life of the fee extends over more than 1 year. Such initiation fees are nondeductible capital expenditures. Former IRC (check if this IRC provision is current here) §274(a)(3).


Posted

in

by

Tags:

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *