Problem:
Carol and Jerry, LLP, pays the Good Eats Cafe each month for the lunches the two accountants eat there each work day. While at lunch, Carol and Jerry always discuss some business. Often Carol and Jerry invite friends who work at another CPA firms to join them, so they can keep up with what is happening in the accounting community. Are these meals deductible?
Requirement:
Develop a tax file memorandum for a client based on the information in scenario above.