Final answer:
Under current U.S. tax law, Girard cannot claim a deduction for the $500 spent on football tickets for entertainment purposes. Deductions for entertainment expenses have been disallowed by the Tax Cuts and Jobs Act of 2017. Any allowable business expenses would be reported on Schedule C (Form 1040).
Step-by-step explanation:
The tax deductible entertainment expense Girard may claim in the current year for his tickets to football games used for entertaining potential customers is subject to the Tax Cuts and Jobs Act of 2017. As of my knowledge cutoff in 2023, the IRS no longer allows deductions for entertainment expenses related to entertaining clients, such as the cost of tickets to sports events. Therefore, Girard cannot claim a deduction for the $500 spent on football tickets for entertainment purposes. If the law changes to allow such deductions, or if there are other business-related expenses that are deductible, Girard would typically report these deductions on Schedule C (Form 1040), which is the tax form used by self-employed individuals to claim business expenses.
According to the Internal Revenue Service (IRS), Girard can claim 50% of his business-related entertainment expenses as tax deductions. In this case, Girard spent $500 on tickets to football games, so he can claim a tax deduction of $250. As a self-employed marketing consultant, Girard will need to report his business expenses on Schedule C (Form 1040). Schedule C is used to report income or loss from a business or profession. Girard can enter the $250 deduction on line 18a of Schedule C. It's important for Girard to keep all the appropriate records, such as receipts, to substantiate his entertainment expenses in case of an IRS audit.