What are non-deductible business expenses?

List of non-deductible business expenses for tax purposes

Some business expenses are non-deductible for tax purposes. This means that although the business can pay for the expenditure, it does not receive the write-off for tax purposes (and thus, no tax savings).

Common non-deductible expenses include: 

• 50% of business-related meals and entertainment 
• Personal meals
• Life insurance premiums where the corporation is not the beneficiary (unless required to secure a loan or financing)
• Golf dues, membership and green fees
• Payments made for memberships in sports clubs and recreational facilities are non-deductible
• Business clothing is a non-deductible expense unless you are wearing a company uniform
• Interest and penalties on corporate taxes
• Personal expenses that aren't related to your corporation’s business activities are non-deductible