1. It is ordinary and necessary for your industry.
    = common, appropriate and helpful
    This doesn’t mean that the meal is required or indispensable.
  2. It is not lavish or extravagant for the business’s industry.
    = reasonable based on facts and circumstances
    This doesn’t mean a specific dollar threshold.
  3. The taxpayer is present at the meal.
    = the business owner or an employee representing the business
    This doesn’t mean that the business owner has to be at the table.
  4. The meal is shared with a guest that you have a business relationship with.
    = your guest is a current or potential client, customer, consultant or employee
    This doesn’t mean the meal eaten at your desk while on a call with a client.
  5. The meal has a business purpose.
    = you discuss projects and possibilities, negotiate or present information
    This doesn’t mean weekly get-togethers with a friend that is also a colleague.
  6. A receipt is retained. The picture above shows a receipt that has captured it all.
    = the date, location and detail of all items purchased and the tip paid
    This doesn’t mean a credit card statement.