- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Can gym memberships be deducted as a business expense...
Posted on 10/14/08 at 9:23 am
Posted on 10/14/08 at 9:23 am
for a company? Rebel, of O-T Lounge fame, claims that you can. I thought I had heard that you can't.
Also, what about country clubs for that matter?
Also, what about country clubs for that matter?
9
Posted on 10/14/08 at 9:27 am to Chicken
I'm no CPA but I would think that you could count it as part of a health benefit or something. And the country club ... well, if you take a client to play I'd bet you could deduct it. ???
By no means should you take my advice!
By no means should you take my advice!
Posted on 10/14/08 at 9:27 am to Chicken
quote:
Can gym memberships be deducted as a business expense...
for a company? Rebel, of O-T Lounge fame, claims that you can. I thought I had heard that you can't.
I think there's a way to tie it into some sort of healthcare deduction/cafeteria plan.
I've heard of a couple of law firms offering it as a fringe type perk, and am pretty sure they are finding a way to deduct it.
Posted on 10/14/08 at 9:41 am to Y.A. Tittle
I would imagine if you had a heart condition, for example, you may be able to use tax free $$ if it necessary that you need to work out to stay alive.
Posted on 10/14/08 at 9:46 am to Chicken
I vaguely seem to remember this issue coming up in a class, and I think it might actually matter whether the gym is on the business premises and reserved for employees, as opposed to just being an added perk tied to a separate firm.
Posted on 10/14/08 at 9:49 am to guttata
You would probably have to go to an official physical therapist for that. I personally think that a majority of the physical therapy business is just a big racket, but hey, that's just me.
Posted on 10/14/08 at 9:53 am to Chicken
I think gym has to be on premises for deduction. I'm pretty sure they closed the loop on country club type stuff.
I did well in tax law....but it was open book
I did well in tax law....but it was open book
Posted on 10/14/08 at 9:55 am to Doc Fenton
quote:
I think it might actually matter whether the gym is on the business premises
this makes me feel like I didn't totally whiff...thanks
Posted on 10/14/08 at 10:10 am to Putty
Open book is awesome!
Posted on 10/14/08 at 10:38 am to Chicken
A company can deduct the costs of gym memberships for employees as compensation expense. However the value of the membership must be reported as salary or wages paid to the employees. The same applies to country club memberships.
If the company has a gym or workout facility on its business premises the employees can use the workout facility as a nontaxable fringe benefit. The company can deduct the costs of operating the gym/workout facility.
In general an expense can be deducted if it is ordinary and necessary for a particular business. I'm sure there are certain businesses for which employee gym memberships are ordinary and necessary. Those businesses would be able to deduct the costs of employee memberships.
If the company has a gym or workout facility on its business premises the employees can use the workout facility as a nontaxable fringe benefit. The company can deduct the costs of operating the gym/workout facility.
In general an expense can be deducted if it is ordinary and necessary for a particular business. I'm sure there are certain businesses for which employee gym memberships are ordinary and necessary. Those businesses would be able to deduct the costs of employee memberships.
Posted on 10/14/08 at 10:50 am to Poodlebrain
quote:
Poodlebrain
Posted on 10/14/08 at 10:58 am to Poodlebrain
quote:what if it is a single-member LLC? Wouldn't these two things cancel each other out?
A company can deduct the costs of gym memberships for employees as compensation expense. However the value of the membership must be reported as salary or wages paid to the employees.
Posted on 10/14/08 at 11:17 am to Chicken
quote:
what if it is a single-member LLC? Wouldn't these two things cancel each other out?
Probably can forego the FICA tax portion?
Posted on 10/14/08 at 3:00 pm to Chicken
quote:
what if it is a single-member LLC? Wouldn't these two things cancel each other out?
A single member LLC is by default a disregarded entity, and its income is reported on Sch. C (used for sole proprietorships) unless the LLC elects to be taxed as a corporation. The single member of the LLC is considered to be self employed and doesn't receive a salary from the LLC. If the LLC pays for a gym membership for the member it will be treated as if the LLC distributed cash to the member and the member paid for the membership.
However, if the gym membership is an ordinary and necessary expense for the business, then the mamber may report the expense as a deduction on Sch. C.
Posted on 10/14/08 at 3:07 pm to Chicken
chicken-
poodlebrain adds a lot to money talk, could we get him VIP status so he posts more frequently?
poodlebrain adds a lot to money talk, could we get him VIP status so he posts more frequently?
Posted on 10/14/08 at 3:46 pm to MileHigh
poodlebrain = the smartest guy on td.com, and it isnt even close
Posted on 10/14/08 at 3:49 pm to MileHigh
quote:
poodlebrain adds a lot to money talk, could we get him VIP status so he posts more frequently?
Poodlebrain reminds me of a guy we had at the Charlotte office of Arthur Andersen. We called him C3P0 because he could just spout out the tax code.
I was called R2D2 because I never got up from my chair. I just sat there and backed my way around the office pushing myself along with my legs.
Accountants have a weird sense of humor.
Posted on 10/14/08 at 4:14 pm to Chicken
Hmm I'm signing up for a gym membership today. I'll keep the receipt and see if I can expense it. Never even thought of that.
Posted on 10/14/08 at 8:19 pm to Doc Fenton
quote:
You would probably have to go to an official physical therapist for that
No, that would be a cardiac therapist, not a PT
quote:
I personally think that a majority of the physical therapy business is just a big racket, but hey, that's just me.
I hope you remember this when you or one of your family members needs to learn how to walk again
Page 1 of 2
Popular
Back to top
Follow TigerDroppings for LSU Football News