# Can I claim Entertainment and Business Meals as a business expense in Singapore?

**Yes, fully claimable.** 50% deductible for qualifying entertainment expenses under section 14(2A). Staff entertainment (e.g., annual dinner and dance) is fully deductible. Receipts and a log of who was entertained and the business purpose are essential.

Typical amount: A client business lunch in Singapore: S$40 to S$120 per person. Client dinner at a fine dining venue: S$100 to S$300 per person. Corporate entertainment at an event: variable.

## What Inland Revenue Authority of Singapore (IRAS) says

Section 14(2A) of the Singapore Income Tax Act limits the deduction for entertainment expenses to 50% of the qualifying amount. Entertainment is defined broadly to include hospitality of any kind, including food, drink, accommodation, and entertainment for clients, customers, or business associates.

## When you can claim

- 50% of the cost of business meals with clients, prospects, or suppliers where a genuine business discussion takes place.
- 50% of drinks, gifts, or hospitality provided to clients at company events.
- 100% of expenses for staff-only events, such as annual dinner and dance, team-building activities, or internal company celebrations (not involving clients).
- 50% of corporate hospitality at sporting or cultural events for clients.
- 50% of the cost of promotional gifts to customers that are branded or have a clear business purpose.

## When you cannot claim

- The disallowed 50% portion of qualifying entertainment expenses (this is a permanent partial disallowance, not a timing difference).
- Personal meals consumed alone (not entertainment in the business sense).
- Extravagant or excessive entertainment where IRAS would question whether the expense is genuinely for business income production.
- Entertainment for family members of directors or employees without genuine business involvement.

## Good to know

**Pro tip:** Keep a contemporaneous record for every entertainment expense: date, venue, names and companies of those entertained, and the business topic discussed. IRAS auditors will ask for this during an audit. Many accounting apps (including AccountsOS) let you attach a photo of the receipt and add a note about the business purpose at the time of the meal, building your evidence file automatically.

Source: https://www.iras.gov.sg/taxes/corporate-income-tax/income-deductions-for-companies/expenses-deductible-against-income

## Related expenses

- [Travel and Transport Expenses](https://accounts-os.com/sg/expenses/travel-expenses-sg)
- [Advertising and Marketing](https://accounts-os.com/sg/expenses/advertising-marketing-sg)
- [Staff Salaries and CPF](https://accounts-os.com/sg/expenses/staff-salaries-sg)