Milt, a self employed attorney, incurs the following expenses in 2017 Dues paid to the local chamber of commerce $ 1,000 Business lunches for clients and prospective clients (Milt does not believe in conducting business discussions during lunch) 4,000 Entertainment of professional associates in his...

a 2017 Deductible expenses include Dues to the local chamber of commerce 1000 Entertainment 200 ...

Milt, a self-employed attorney, incurs the following expenses in 2017: Dues paid to the local chamber of

Question:

Milt, a self-employed attorney, incurs the following expenses in 2017:

Dues paid to the local chamber of commerce	$ 1,000
Business lunches for clients and prospective clients (Milt does not believe in conducting business discussions during lunch)	4,000
Entertainment of professional associates in his home (immediately following business meetings)	2,000
Country club dues (the club is used exclusively for business)	2,500
Entertainment of clients and prospective clients at the country club (meals and drinks)	1,500
Total	$11,000

a. Which of the expenditures listed above (if any) are deductible in 2017 by Milt? How would your answers change if the tax year were 2018 rather than 2017?

b. Are each of these items classified as for AGI or from AGI deductions?

c. How would your answers change if Milt was an employee rather than self-employed?

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