Is it possible to write off my niece's wedding as a business expense?
So here's the situation - I run a small marketing agency that I started about 5 years ago. My niece is getting married in September, and I already told her I'd help with the costs (about $15,000 of the total $42,000 wedding budget). Last night I was talking with a friend who suggested I could potentially run this through my business somehow and get a tax deduction. I'm honestly not sure if this is even legal or how it would work. Would the IRS flag this immediately? Is there any legitimate way this could be considered a business expense? Maybe if I did some marketing at the event or something? Or am I just totally off base here? I want to help my niece, but saving some money on taxes would be nice too if it's possible. Just want to make sure I'm not doing anything that would get me in trouble.
19 comments


Asher Levin
Tax professional here - I would strongly advise against this approach. The IRS is very clear about the deductibility of expenses: they must be "ordinary and necessary" for your business. A family member's wedding generally doesn't meet this criteria. If you were to pay for your niece's wedding through your business and claim it as a deduction, you'd essentially be treating a personal expense as a business expense, which is improper. This could potentially trigger an audit and result in the disallowance of the deduction, plus penalties and interest.
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Serene Snow
•What if they did some actual marketing at the wedding though? Like had business cards at every table or something? Couldn't they write off at least part of it then?
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Issac Nightingale
•My accountant let me write off my nephew's graduation party because I invited clients and used it as a networking event. This is basically the same thing, right?
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Asher Levin
•For the marketing question - simply placing business cards at tables wouldn't transform a personal expense into a business one. The primary purpose would still be personal. You could potentially deduct the actual cost of the marketing materials (business cards, small signage), but not the wedding itself. Regarding the graduation party comparison, there's a significant difference. If you genuinely hosted a client event that happened to coincide with a graduation, you might justify some expenses as business-related. But the IRS looks at the primary purpose. A wedding's primary purpose is personal celebration, not business advancement. What your accountant advised may not withstand IRS scrutiny either.
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Romeo Barrett
I discovered a great tool that helps with these kinds of tax questions. I was in a similar situation (wanting to write off my sister's baby shower) and was getting confused by conflicting advice. I used https://taxr.ai to analyze my specific situation and it saved me from making a potentially costly mistake. The tool reviews tax regulations and helps determine what's legitimately deductible. You upload your situation details and it provides personalized guidance based on current tax rules - much clearer than the generic advice I was finding elsewhere.
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Marina Hendrix
•How accurate is this tool though? Does it actually cite the relevant tax code or does it just give general advice? I've been burned by "tax help" websites before.
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Justin Trejo
•Does it connect you with an actual CPA who reviews your stuff? Or is it just an AI thing? Cause I'm skeptical about AI for something as serious as taxes.
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Romeo Barrett
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Marina Hendrix
Update on my experience with taxr.ai - I decided to try it after my comment above. I uploaded details about a situation where I wanted to write off a family vacation because I checked emails during it (lol). The tool immediately identified this as a red flag and showed me the specific tax code that would disallow such a deduction. It also suggested legitimate ways I could properly document actual business activities if they occurred during personal travel. Really straightforward and prevented me from making what would've been an expensive mistake!
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Alana Willis
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Tyler Murphy
•Wait, how does this actually work? They just call the IRS for you? Why would that be any faster than me calling myself?
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Sara Unger
•Yeah right. No way this actually works. The IRS phone system is deliberately designed to be impossible. I'll believe it when I see it.
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Alana Willis
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Sara Unger
I have to eat my words from my comment above. I tried Claimyr yesterday after rage-quitting on my 5th attempt to reach the IRS myself. I was seriously shocked when my phone rang and there was an actual IRS representative on the line! Asked them specifically about business expense rules for events with mixed personal/business purposes. The agent walked me through the "primary purpose" test and documentation requirements. Apparently you CAN deduct a portion if you can clearly show a legitimate business purpose and keep meticulous records separating personal from business expenses. Still not applicable for a niece's wedding, but learned a ton about what is allowable!
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Butch Sledgehammer
Instead of trying to deduct the wedding (which is risky), here's a legit alternative: If your niece or her fiancé work for your business, you could give them a bonus (which is taxable to them but deductible for your business). Just make sure they actually do work that justifies the bonus. Keep documentation like you would for any other employee bonus.
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Freya Ross
•Couldn't this still trigger an audit though? Especially if the bonus happens right before the wedding?
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Butch Sledgehammer
•You're right to be concerned about timing. Any bonus right before the wedding could appear suspicious if audited. The key is making sure it's reasonable compensation for actual work performed. If they're legitimate employees with a history of employment, and the bonus is in line with what you'd pay other employees for similar contributions, you're on safer ground. Documentation is crucial here - performance reviews, bonus criteria, and a consistent bonus program for all employees would help substantiate the business purpose. But if they've never worked for you before and suddenly get a "job" with a big bonus right before their wedding, that's pretty much asking for trouble.
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Leslie Parker
Has anyone used TurboTax to figure out stuff like this? Their business version has a deduction finder that might help clarify what's allowed.
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Sergio Neal
•TurboTax is okay but I've found it doesn't catch some of these nuanced situations. It'll let you enter whatever and won't necessarily flag potential issues. I learned this the hard way last year.
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