And while were at it, how about a CPA ? Are they allowed to write off their entire cruises ?
Until a CPA comes along ....
I don't know about the total cost for the cruise but for meals they ate while on the excursions, I'm thinking no. Schedule C for 2023 states, "The business meals deduction is now 50%." I take that to mean that if their meals for the year totaled $15,000.00 they can only deduct/write-off $7500.00.
Allowable expenses/deductions are subtracted from the reported income. The remaining balance is taxable income. The goal would be to get that balance as close to zero as possible. I think a business can show a loss for three out of five years though.
I know, because I saw it with my last employer, that people pad their expenses. They count on not getting audited. Using "Meals" as an example, if they stop at Taco Bell on a random day they couldn't/shouldn't claim that. If they, oh I don't know, let's say they go to Casey's and eat pizza in the yeller jeep and vlog their review, they could claim that meal.
And I don't doubt for a second that WiLLL and Dong don't report all their income - grift cards, cash, promotional items. I'm not sure if gifts/trinkets they receive from Stans has to have a value associated with it and reported as income.
I don't even want to mention what expenses are allowable. I'll link an article
here.
And here's my disclaimer: I'm not a tax professional, this isn't advice. And CPAs know way more than I do.