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Marketing

Can I write off Gifts to Clients in Canada?

YES (CONDITIONAL)

Explanation

Gifts are deductible if reasonable. However, if the gift is food, liquor, or entertainment tickets, it is subject to the 50% limit. Physical gifts (like a branded pen, book, or gadget) are usually 100% deductible.

💡 Pro Tip

If you give a client a $100 bottle of wine, you can only write off $50. If you give them a $100 kitchen gadget, you can write off $100.

Official Source: Line 8523 – Meals and entertainment