Meal Expenses - claimable or not?

Under New Zealand’s Income Tax Act 2007, meal costs are generally considered private and non-deductible, meaning self-employed people usually cannot claim their own food, even when working, unless exceptional circumstances force extra costs, and then only the excess is deductible; using an LTC or partnership does not change this.

The rules shift if you operate through a company and are genuinely treated as an employee, where certain meals or allowances can be deductible and even tax-free if they meet strict IRD criteria.

Broadly, meals are 100% deductible when they are clearly work-related with minimal private benefit, such as employee travel meals within limits, overtime meals, light refreshments at work or meetings, meals at long training sessions, public promotional events, charitable donations, overseas business travel, or media reviews.

Fifty percent deductibility applies mainly to entertainment-type situations like client lunches, staff functions, food gifts, or meals that include a social element. Meals are not deductible at all when they are personal, such as self-employed lunches, meals with family or friends, most LTC-paid meals, or restaurant vouchers and cash allowances, making the key distinction not who pays, but whether the expense is genuinely work-driven, non-private, and structured correctly under IRD rules.