Internet Problem: Researching IRS Publication 463
Response to the following problem:
The Alpha-Beta Company rents a 12-seat luxury skybox at a football stadium for the entire season. The season consists of eight home games. Alpha-Beta uses the skybox exclusively for entertaining clients. The cost of renting the skybox for the season is $20,000. In contrast, nonluxury box seats sell for $50 for each game. How much can Alpha-Beta deduct for its rental of a luxury skybox?
Go to the IRS website. Locate IRS Publication 463, and find an answer to the above question involving luxury skyboxes. Underline or highlight the pertinent information.