No, it's not being overly conservative. An investment club is not a business operation. It does not provide goods or services to others. Therefore, its deductions are limited to those that would be deductible for an individual making the same investments and those which are required for the operation of the partnership (such as accounting software). Food isn't a requirement for operation of the partnership, nor would it be deductible as an individual.

 

Ira Smilovitz

 

I understand the response below, but why is it a
corporation/ partnership can deduct stockholder/partner
meeting expenses including refreshments, but a partnership
(club) cannot? Isn't this being overly conservative?