For calendar years 2021 and 2022, businesses (including self-employed persons) can deduct 100% of the cost of qualifying business-related food and beverage provided by a restaurant. In prior years, the general deduction was 50% of those costs.
A restaurant is defined as a provider who prepares and sells food or beverages to retail customers for immediate consumption, whether on-site or for take-out.
However, a “restaurant” is not a caterer or an on-site eating facility such as a company cafeteria; and, a restaurant is not a business that primarily sells pre-packaged food or beverages not for immediate consumptions, such as a grocery store, specialty food store, beer, wine, or liquor store, drug store, convenience store, newsstand, or a vending machine or kiosk.
Kenneth Athon Tax Strategies 