Jill Andresky Fraser
Jul 1, 1995
Benchmark: Impact of Lower T
Graphs showing how various companies changed or plan to change T
Last year's reduction in the business-meal tax deduction -- from 80% to 50% -- should affect the spending of small and midsize companies. Among some 300 companies surveyed, most have changed or plan to change their travel-and-entertainment policies.
| Small companies (1Ñ100 employees) | Midsize companies (101Ñ1,500 employees) | |
| Have taken or anticipate taking some action that could reduce restaurant spending | 65% | 79% |
| Anticipate spending less at fine dining establishments | 28% | 27% |
| Anticipate spending less at fast-food restaurants | 21% | 16% |
| Anticipate spending less at family-style restaurants | 5% | 4% |
| Anticipate spending more at moderately priced restaurants | 0% | 7% |
Source: "Business Meal Deductibility Study," American Express, New York City, February 1995.
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