Congress has passed a new stimulus relief as a part of the 2021 Consolidated Appropriations Act. The bill is composed of several provisions, including an extension of the Paycheck Protection Program and an increase in the tax deductibility of certain business expenses. Of interest to company leaders, is that the bill may make certain business meals 100% tax-deductible in 2021 and 2022*. As restaurants face uncertain and challenging times, this may be one way to offer support.
What this may mean for you
This part of the latest stimulus bill may make it more cost-effective for you to run your meal program through 2022, wherever your employees are working. This bill provides a significant increase from the previous 50% deduction for business meals purchased from a restaurant. Please consult your tax professional about whether you can use meal plans to take advantage of this increased deduction. At a time when companies are looking to support their local communities, a meal program is an easy way to direct money to restaurants.
Why launch a meal program for 2021
As we enter 2021 and benefits are finalized, this is a great opportunity to make sure an employee food perk is a part of your plan. Whether your team is working from home, the office, or a blend of both, food is one way to show your team you care. Providing employee meals ensures that your team feels valued—boosting morale and increasing retention. This benefit is also a strong selling point to recruit new hires. The new stimulus bill may make it more cost-effective to provide a food program, so it’s the perfect time to test it out with your team.
In addition to boosting employee morale, restaurants need community support now more than ever–and a company meal plan sends money directly to local restaurants. Grubhub’s marketplace features over 300,000 restaurants, including the largest and most comprehensive network of restaurant partners, making it easy to support restaurants in the communities your teams are working from.
Grubhub Corporate is here to help
A good meal is a great way to kick off the New Year and support your team and restaurants, and restaurant business meals may also be tax deductible under the new stimulus bill. A Grubhub Corporate Account is a safe, customizable, and cost-effective way to feed your team no matter where they’re working, whether that be from home or in the office. Contact us today to discuss how you may be able to reward employees with delicious meals in 2021 using a Grubhub Corporate Account.
*Grubhub does not provide legal, accounting, or tax advice or services, and nothing contained in this message or anywhere on Grubhub’s websites or mobile applications should be construed as such.