As a general rule, your deduction for business entertainment expenses is limited to 50% of the cost, no matter what the occasion. But there is an important exception for holiday parties or other corporate events. In this case, you may be able to write off 100% of the cost for a gathering held on the business premises or at an outside venue—even your own home.

However, there is one catch: To qualify for the 100% deduction, you must invite the entire staff. The party cannot be restricted to the company’s top echelon.