entertainment expenses

Entertainment expenses refer to costs incurred for activities or events that aim to entertain clients, employees, or business partners, such as meals, concerts, sporting events, or outings. These expenses are typically justified as a means to build relationships, network, or promote a business. Companies may record these costs for accounting purposes, and they often have specific guidelines or limits to ensure proper documentation and compliance with tax regulations. Properly managing entertainment expenses helps businesses maintain good professional connections while adhering to financial and legal standards.