Are Split Bills for Business Meals Deductible? Understanding Japan’s Tax Rules
【Koshida Accounting Firm Column Date:】
Hi, my name is Taisei Koshida, and I am a certified public accountant and tax accountant.
I aim to assist non-Japanese business owners who struggle with reading or writing in Japanese. If you find the Japanese tax return system challenging, I can help you with your tax filings.
This blog may help if you are unclear about the split bill for a business meal in Japan.
Last evening, I went to a Chinese restaurant in Kyoto with a client and we split the bill. Is this considered an expense?
The Conclusion
It is considered an expense if related to business, such as when dining with a client. The method of payment does not matter.
The Image of Participating in the Party
For instance, it’s easier to understand if you imagine attending a business party hosted by your client and paying a uniform admission fee.
The Point is Directly Relevant to Business
If an expenditure is related to business directly, it is considered a business expense for tax purposes.
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