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can i write off concert tickets

TL;DR

Concert tickets are generally not deductible as a business expense unless they are directly related to business activities, such as client entertainment, and meet specific IRS criteria.

Detailed Answer

Concert tickets can be deductible if they are used for business entertainment purposes, such as entertaining clients to discuss business matters. The IRS requires that the entertainment be directly related to or associated with the active conduct of business. For example, if a business owner takes a client to a concert to discuss a potential deal, this may qualify. However, the Tax Cuts and Jobs Act of 2017 eliminated the deduction for most entertainment expenses, so the deduction is limited. The cost of the tickets must be ordinary and necessary, and only 50% of the expense is typically deductible if it qualifies. Documentation showing the business purpose and the individuals entertained is crucial.

Where to Put It on the Tax Form

Schedule C, Line 24b for business entertainment expenses.

Real World Example

A freelance marketing consultant takes a potential client to a concert to discuss a new marketing strategy. The tickets cost $200. The consultant can potentially deduct $100 (50% of the cost) if they document the business purpose and the client relationship.

Calculation Required

A calculation is required for this deduction.

Calculate 50% of the concert ticket cost if it qualifies as a business entertainment expense. For example, if the tickets cost $200, the deductible amount is $200 x 0.50 = $100.

Audit Risk & Documentation Tips

Moderate audit risk. Keep detailed records, including the date, cost, and business purpose of the entertainment, as well as the names and business relationship of the people entertained. Save receipts and any correspondence related to the business discussion.

IRS Reference

IRS Pub 463, Travel, Gift, and Car Expenses; IRC §274.

Relevant Industries

ConsultantsSales ProfessionalsFreelancers

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Disclaimer: This is for informational purposes only and should not be construed as tax or legal advice. Always consult your tax advisor.

Page created on November 11, 2025

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