Exceptions from Limitations on Deduction for Business Meals
Section 70305 · Sec. 70305 ·
What this chapter is about
This part carves two exceptions into a bar on deducting business meals. One covers meals on fishing boats. One covers meals at fish plants in the far north. The changes reach amounts paid after December 31, 2025.
“is amended by striking "No deduction" and inserting "Except in the case of an expense described in subsection (e)(8) or (n)(2)(C), no deduction".”
The section strikes the words No deduction at the start of section 274(o) of the Internal Revenue Code of 1986, as added by section 13304 of Public Law 115-97, and inserts words carving out an expense described in subsection (e)(8) or (n)(2)(C).
What the document actually says
“is amended by striking "No deduction" and inserting "Except in the case of an expense described in subsection (e)(8) or (n)(2)(C), no deduction".”
That sentence, in plain words
Two words are taken out of a tax rule. Longer wording is put in. It names two kinds of cost that escape the bar.
What this is about
The bar normally blocks the deduction. The new wording opens two doors. What each of them covers sits elsewhere in the tax code.
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“on a fishing vessel, fish processing vessel, or fish tender vessel (as such terms are defined in section 2101 of title 46, United States Code), or”
The section adds a new clause (v) to section 274(n)(2)(C) of the Internal Revenue Code of 1986 covering meals provided on a fishing vessel, fish processing vessel or fish tender vessel as those terms are defined in section 2101 of title 46, United States Code, or at a facility for processing fish for commercial use or consumption that is in the United States north of 50 degrees north latitude and outside a metropolitan statistical area within the meaning of section 143(k)(2)(B).
What the document actually says
“on a fishing vessel, fish processing vessel, or fish tender vessel (as such terms are defined in section 2101 of title 46, United States Code), or”
That sentence, in plain words
Meals given on three kinds of fishing boat are named. An older shipping law says what each kind is.
What this is about
Meals at some fish plants also count. The plant must be north of 50 degrees latitude. It must be outside a city area.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
The document says “shall apply”Who acts: Secretary of the TreasuryHow: statuteSec. 70305 in the PDF
What the document says
“The amendments made by this section shall apply to amounts paid or incurred after December 31, 2025.”
The section applies its amendments to amounts paid or incurred after December 31, 2025.
What the document actually says
“The amendments made by this section shall apply to amounts paid or incurred after December 31, 2025.”
That sentence, in plain words
The changes reach money paid out after December 31, 2025. Costs before then are left out.
What this is about
Costs run up before then are not touched. The old rules still hold for them. The date is fixed in the law.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
Each distinct thing the section does: add the exception to the denial of the deduction, add fishing vessels and remote fish processing facilities to the list that escapes the 50 percent limit, and fix the effective date.
Nothing in the section is left out. It has three subsections and each is recorded.
The section works by amending section 274 of the Internal Revenue Code of 1986 and points to section 2101 of title 46, United States Code, neither of which is indexed here.
