Can you write off the initation fee to join a country club? For
example, I am an independent contractor and was interested in join a
country club which has an initiation fee of 60,000 dollars. Could I
write that or a portion of that off for tax purposes.

Dear chanley-ga;

Thank you for allowing me to answer your interesting question.

RHEA & IVY, CERTIFIED PUBLIC ACCOUNTANTS AND BUSINESS ADVISORS says
this about country club fees:

?Q. Are my membership fees and dues tax deductible?  
A. It depends on the nature of the membership or due. For example,
amounts paid to organizations whose principal purpose is to provide
entertainment to their members or other guest are generally not tax
deductible. Examples include country club and athletic club dues. On
the other hand, dues for trade or business associations are tax
deductible as well as civic and service club dues.  Examples of
deductible expenses include membership for a chamber of commerce,
Rotary, Kiwanis, Lions, and other professional and trade
associations.?
http://www.rheaivy.com/FAQs_Resource/answers.htm

RHEA & IVY, CERTIFIED PUBLIC ACCOUNTANTS AND BUSINESS ADVISORS
SOURCE: http://www.rheaivy.com/


WORLD WIDE WEB TAX says basically the same thing:

?Generally, club dues is not tax deductible on your tax return.?
WORLD WIDE WEB TAX
http://www.wwwebtax.com/deductions_miscellaneous/miscellaneous_itemized_deductions.htm



TITLE 26, Subtitle A, CHAPTER 1, Subchapter B, PART IX, Sec. 274 of
the US Tax Code lists the circumstances for which no deduction is
allowable. Among them are country club fees. Specifically (a)(3) which
states, in part:

?Notwithstanding the preceding provisions of this subsection, no
deduction shall be allowed under this chapter for amounts paid or
incurred for membership in any club organized for business, pleasure,
recreation, or other social purpose.?
US TAX CODE
http://www.fourmilab.ch/ustax/www/t26-A-1-B-IX-274.html

I should, however point out that the statute is much more complex than
this and should be read in its entirety, and if necessary, explained
in detail, relative to your particular set of circumstances, by a
licensed and knowledgeable accountant.


I hope you find that my research exceeds your expectations. If you
have any questions about my research please post a clarification
request prior to rating the answer. Otherwise I welcome your rating
and your final comments and I look forward to working with you again
in the near future. Thank you for bringing your question to us.

Best regards;
Tutuzdad-ga ? Google Answers Researcher



INFORMATION SOURCES

DEFINED ABOVE


SEARCH STRATEGY


SEARCH ENGINE USED:

Google ://www.google.com


SEARCH TERMS USED:

COUNTRY CLUB

INITIATION

FEES 

DUES

MEMBERSHIP

TAX

DEDUCTIBLE

US TAX CODE

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Clarification of Answer by tutuzdad-ga on 04 Jan 2005 14:28 PST

My friend Pinkfreud-ga pointed out to me a recent tax court decision
that favored an excutive who felt pressured by his employer to join a
country club. As a result the court allowed him to claim the fee as a
deduction. I don't know if this situation applies to your
circumstances but for the sake of $60,000.00 it might be worthy of
reading.

THE INTERNET TAX BULLETIN
II. COURT NEWS
A. Executive May Deduct Country Club Fee; Relocation Expense Deduction
Denied. (Martin v. CIR)
http://www.tax.org/taxa/tadiscus.nsf/0/18052e6174e2852e852563e300008c90?OpenDocument

tutuzdad-ga