Tax Deductions for Dues and Expenses of Being a Mason or a Lion

Written by Coach Janelle CPA on November 13, 2024

Based on IRS regulations, club dues are generally not deductible if the organization’s principal purpose is to conduct entertainment activities for its members.

However, there are exceptions for civic and public service organizations, such as the Lions, Rotary, Kiwanis, and Civitan clubs, which the IRS recognizes as not being primarily for entertainment.

The situation is less clear for clubs like the Masons or Shriners because the IRS did not name them in its regulations.

The key determinant for deductibility is whether the organization’s principal purpose aligns with civic and public service rather than entertainment. If a member, such as a Mason or a Shriner, can reasonably state that their involvement primarily serves a civic purpose, similar to that of the Lions or Rotary clubs, then the dues may be considered deductible.

It is also important to ensure that any dues claimed as deductions meet the “ordinary and necessary business purpose” criteria set forth by the IRS. For example, membership in these organizations could provide business networking opportunities or enhance your stature in the community, which could qualify as an ordinary and necessary business expense.

Need help navigating these IRS guidelines? Coach Janelle, CPA is here to guide you with expert tax strategy planning—ensuring every deduction counts! Contact us today!

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