8 November 2007 External T.I. 2006-0181621E5 F - Article 67.1 - Frais de transport et de logement -- summary under Subsection 67.1(1)

The taxpayer bears the expenses of inviting major customers to an event (described as an ”entertainment activity”) , including meal expenses, tickets to attend events, transportation and accommodation expenses. CRA indicated that the transportation costs incurred by the taxpayer in order for the customers to travel to the event, and the accommodation costs of its customers during their stay, came within the scope of the limitation of amounts paid “in respect of … entertainment.