With the elimination of entertainment expenses with the TCJA, are companies fully eating the cost of suites at stadiums or do they try to claim it's an advertising expense or some other crap?

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A lot of them don’t have them just for the benefit of going to the games. They use them as tools to close deals. While the tax benefit may be gone, they didn’t get them for the tax benefit. They enjoyed having it while getting the benefit of use. It’s a pretty bad way to run a business making all your decisions on tax law alone. If that were the case, I’d recommend making no revenue, best way to avoid tax….

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They are not taking deductions or getting rid of suites

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My office downgraded from a suite to just a seat package this year in one of the sports, for example. It’s just good business practices to cost-benefit analysis the target market of something like that and whether or not they’re getting the needed value out of it for the price. Clearly in this case they feel the market value, so to speak, had declined so they reduced expenditure in that sport specifically. TCJA could have certainly been a variable factor in their analysis but I’d bet it was more of a supporting factor than the main cause of the decision.

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