President Trump is considering a creative way to help the restaurant industry that has been hit hard by this pandemic. Trump is reportedly considering restoring the corporate tax deduction for meals to help the industry.
According to The Hill:
President Trump said Sunday that he would push to restore the ability for corporations to deduct the full cost of meals and entertainment from their taxes as the restaurant industry suffers during the coronavirus pandemic.
Trump said Sunday afternoon that he would ask Treasury Secretary Steven Mnuchin and Labor Secretary Eugene Scalia to look into reversing a provision of the 2017 tax-cut law that could incentivize corporations to spend more money on restaurant meals.
“You’re going to lose all these restaurants and they’re not going to make it back. They have to get going,” Trump said Sunday during a briefing at the White House. The president said he spoke with iconic chef Wolfgang Puck earlier in the day.
“Some are closing right now. Despite the fact that they could be open in the not too distant future. We expect that. But there are some that aren’t going to be able to get open.”
This would likely require an act of Congress to pass a new tax code, but it seems Trump is laying the groundwork to make this happen.