What is Business meal substantiation?
Business meal substantiation refers to the IRS documentation requirements that businesses must satisfy to claim tax deductions for Meals deductions incurred during business activities in 2026. Proper substantiation requires maintaining itemized receipts showing the restaurant name, date, items purchased, and total amount paid, along with contemporaneous written records documenting the business purpose of the meal, the nature of business discussed, and the names and business relationships of all attendees. The substantiation standards apply to all Meals deductions, regardless of amount; failure to maintain adequate documentation results in complete disallowance of the deduction during IRS audits, rather than an estimated partial allowance under the Cohan rule.
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