Is Country Club Membership Tax Deductible in Cashiers, NC?
If you’re weighing a country club membership in the Cashiers or Sapphire Valley area, the tax question comes up early and deserves a straight answer. This page covers how the IRS treats country club dues, when business use might create a partial deduction, and what North Carolina’s rules add to the picture. It’s practical information worth knowing before you make any decisions.
Essential Overview
- Country club membership dues are generally not tax deductible for individuals or businesses under current federal law.
- The Tax Cuts and Jobs Act of 2017 eliminated the previous 50% deduction for business entertainment at clubs, according to the IRS.
- North Carolina follows the federal treatment of club dues, so state-level deductions are not available either.
- Certain business expenses incurred at a club, such as meals with clients under specific conditions, may still qualify for a 50% deduction separately from dues.
- Consult a qualified CPA familiar with NC tax law before making any deduction decisions related to club membership.
Table of Contents
- The Short Answer on Club Dues and Taxes
- What the IRS Actually Says About Club Memberships
- How the Tax Cuts and Jobs Act Changed Everything
- When Business Meals at the Club Can Still Be Deducted
- What North Carolina Tax Law Adds to the Picture
- Self-Employed Members and the Club Dues Question
- Corporate Memberships and Employer-Provided Benefits
- What Qualifies as a Deductible Business Expense at a Club
- Common Misconceptions About Club Membership Deductions
- Why People Still Choose Membership Beyond the Tax Question
- Frequently Asked Questions
- Summary
The Short Answer on Club Dues and Taxes
Country club membership dues are not tax deductible under current federal tax law, full stop. That applies to individual members, sole proprietors, and most business entities. The IRS has been clear on this since the Tax Cuts and Jobs Act took effect in 2018.
If you’ve heard otherwise, you may be thinking of the rules that existed before 2018, when there was a limited business entertainment deduction that covered dues in some cases. That window has been closed for several years now.
The good news is that the tax question doesn’t define the value of membership. A membership at a place like Burlingame Country Club in Cashiers, NC carries its own weight in quality of life, community, and outdoor access that no tax treatment fully captures.
What the IRS Actually Says About Club Memberships
The IRS addresses club dues directly under its business expense rules. According to IRS Publication 463, dues paid to a country club, golf club, airline club, hotel club, or any social, athletic, or sporting club are specifically listed as non-deductible expenses.
This rule applies regardless of how much legitimate business you conduct at the club. Even if every round of golf you play is with a client, the dues themselves remain non-deductible. The IRS makes no exception for business-use percentage when it comes to dues specifically.
The distinction the IRS draws is between the membership itself and specific business activities that happen to take place at the club. Those can sometimes be treated differently, which we’ll cover below.
How the Tax Cuts and Jobs Act Changed Everything
Before 2018, businesses could deduct 50% of entertainment expenses, which sometimes included costs at a club if the entertainment was directly tied to business. The Tax Cuts and Jobs Act of 2017 eliminated that deduction entirely, according to the IRS.
Here’s what changed specifically:
- The 50% deduction for entertainment, amusement, and recreation expenses was fully repealed.
- Golf fees and greens fees paid for clients became non-deductible as entertainment.
- Tickets to sporting events at or near a club lost their deductible status as entertainment.
- Club initiation fees were already non-deductible and remain so.
- Annual dues continued to be non-deductible, as they were before.
- Business meals were preserved at 50%, though with new substantiation requirements.
- The rules apply to tax years beginning after December 31, 2017.
If you’re working from advice that predates 2018, it’s worth a conversation with your accountant to make sure your current filings reflect the law as it stands today.
When Business Meals at the Club Can Still Be Deducted
Meals at a country club can still qualify for a 50% business deduction, but the IRS requires you to meet specific conditions. The meal must have a clear business purpose, and you must document it carefully.
To qualify under current IRS guidance:
- The meal must not be lavish or extravagant under the circumstances.
- You or an employee must be present at the meal.
- The meal must be with a business associate, client, prospect, or employee.
- Business must actually be discussed during or around the meal.
- You need to document the amount, the date, the business relationship, and the business purpose.
- The meal cost needs to be invoiced separately from any entertainment or golf fees.
- Alcohol is included in the 50% rule when it’s part of the same bill as a qualifying meal.
At Burlingame, the dining experience spans several venues and menus crafted by culinary professionals. If you do conduct business at the club, a well-documented lunch or dinner there may still carry some tax benefit, even if the membership itself does not.
What North Carolina Tax Law Adds to the Picture
North Carolina generally conforms to federal tax treatment when it comes to business expenses. The NC Department of Revenue follows IRS rules on entertainment and club dues, which means state-level deductions for country club membership are not available either.
North Carolina does have its own nuances in how certain deductions are calculated or limited, so the interaction between state and federal rules is worth reviewing with a local CPA. Someone familiar with the western NC market, particularly the Cashiers and Lake Toxaway corridor, will understand both the tax environment and the context of club membership in this region.
What doesn’t change is that your membership costs at a club in this area are paid from after-tax dollars, whether you’re a full-time NC resident or a part-year resident spending summers in the mountains.
Self-Employed Members and the Club Dues Question
Self-employed individuals often ask this question because they manage their own deductions and are looking for every legitimate write-off available. The answer here is the same as it is for everyone else: club dues are not deductible, even on a Schedule C.
The IRS explicitly bars the deduction regardless of business structure. A sole proprietor, LLC member, or S-corp shareholder who pays dues out of business funds is still not permitted to deduct them.
Where self-employed members do have some flexibility is in the documentation and separation of business meals and other qualifying expenses from the overall membership package. If you receive an itemized statement from the club, that documentation becomes useful when tax time comes.
Corporate Memberships and Employer-Provided Benefits
Some businesses purchase corporate memberships at a country club and provide access to employees. The tax treatment here is more complex and depends on how the membership is structured and used.
When the Company Holds the Membership
If a corporation holds the membership and employees use it, the dues are still generally not deductible for the corporation as a business expense. The IRS non-deductibility rule applies at the entity level as well as the individual level.
Compensation Fringe Benefits
If an employer pays club dues on behalf of an employee and that payment is treated as compensation, it may be deductible for the employer as a compensation expense and taxable to the employee as income. This is a specific structure that should be set up with guidance from a tax advisor.
The key takeaway is that corporate memberships don’t automatically create deductions. They require deliberate structuring and clear documentation.
What Qualifies as a Deductible Business Expense at a Club
Even though dues are not deductible, some other costs associated with club activities may qualify. Here’s a straightforward breakdown:
| Expense Type | Deductible? | Notes |
|---|---|---|
| Annual dues | No | Explicitly excluded by IRS |
| Initiation fees | No | Treated same as dues |
| Golf fees for client entertainment | No | Entertainment deduction eliminated in 2018 |
| Business meals (documented) | 50% | Must meet IRS substantiation rules |
| Meeting room rental | Likely yes | Treated as ordinary business expense if used for business meetings |
| Employee meals (convenience of employer) | 50% through 2025 | Check current IRS guidance; rules change after 2025 |
Keeping itemized receipts and a brief written note about the business purpose of each expense is the simplest way to support any deductions you do claim.
Common Misconceptions About Club Membership Deductions
A few myths circulate in golf communities and business circles that are worth addressing directly.
“If I use the club mostly for business, the dues are deductible.”
This is not accurate. The IRS specifically states that even 100% business use does not make dues deductible. The dues category is excluded regardless of use percentage.
“My accountant used to deduct them, so they’re still fine.”
This was possible before 2018 under different rules. If your tax returns from 2018 onward still show club dues as a deduction, that’s worth reviewing with a new set of eyes.
“A corporate membership gets around the rule.”
Not automatically. As discussed above, corporate memberships don’t bypass the non-deductibility rule without specific structuring as compensation.
“I can deduct the portion I use for client meetings.”
You can potentially deduct documented business meals. You cannot allocate a percentage of dues to business use and deduct that portion.
Why People Still Choose Membership Beyond the Tax Question
Honestly, the tax question comes up early in the conversation and then fades once people actually spend time at a club they love. The real reasons people join, and stay, have almost nothing to do with deductions.
At Burlingame Country Club in Cashiers, the draw is the whole picture: an 18-hole championship golf course designed by Tom Jackson at elevations ranging from 3,000 to 3,500 feet, six indoor and outdoor dining venues, the Horsepasture River running through the property, and a community that genuinely knows your name.
The mountain setting in western NC puts you near Sapphire Valley, Lake Toxaway, and some of the most visually striking terrain in the eastern United States. Summers run cool. Autumn comes early and stays longer than you’d expect.
If you’re considering whether membership fits the life you’re building here, a look at the membership options at Burlingame gives you a clear picture of what’s included and how it works. The activities and amenities extend well beyond golf, from tennis and fitness to the Rejuvenate Spa and organized club events through the seasons.
For families, the family programming runs through summer and beyond, and kids who grow up spending weekends here tend to remember it for the rest of their lives. That’s the kind of return on investment that doesn’t show up on a Schedule C.
Frequently Asked Questions
Can I deduct country club membership dues as a business expense in 2024?
No. Under current IRS rules, country club membership dues are not deductible as a business expense, regardless of how much you use the club for business. This has been the rule since the Tax Cuts and Jobs Act of 2017 removed the prior entertainment expense deduction. The IRS explicitly names social, athletic, and sporting clubs as non-deductible in Publication 463.
Are there any tax benefits to having a country club membership?
Direct deductions for dues don’t exist under current law. However, documented business meals at the club may qualify for a 50% deduction, and if your employer provides membership as compensation, the structure may have employer-side deductibility. Always work with a CPA to evaluate your specific situation before assuming any deduction applies.
Does North Carolina offer any state tax deductions for club membership?
No. North Carolina conforms to federal tax treatment on this issue. Club dues that are non-deductible at the federal level are also non-deductible for NC state income tax purposes. If you have questions specific to your NC tax filing, the NC Department of Revenue and a local tax professional are your best resources.
What if my employer pays for my country club membership?
If an employer pays your dues and treats that payment as part of your compensation, it’s generally taxable income to you. The employer may be able to deduct it as a compensation expense. This is a specific arrangement that requires proper documentation and structure, so consult a tax advisor before assuming any particular treatment applies.
Can a golf club greens fee be deducted as a business expense?
Not since 2018. The Tax Cuts and Jobs Act eliminated the entertainment expense deduction that previously allowed partial deductibility for business golf. Playing a round with a client is no longer deductible as an entertainment expense, even if substantive business discussion takes place on the course.
What documentation should I keep if I conduct business at my country club?
Keep itemized receipts that separate meal costs from other charges. For each qualifying business meal, note the date, the names and titles of everyone present, the business relationship, and the specific business topic discussed. The IRS requires this documentation to support any 50% meal deduction. A brief note on the receipt or in a digital log is enough if you’re consistent.
Is a golf club initiation fee tax deductible?
No. Initiation fees are treated the same way as annual dues under IRS rules. They are not deductible as a business expense, and there is no personal deduction available for them either. This applies at both the federal level and in North Carolina.
Could future tax law changes make club dues deductible again?
Possibly. Tax law changes periodically, and some provisions of the Tax Cuts and Jobs Act are scheduled to expire or be reviewed after 2025. Whether entertainment and club-related deductions return to the tax code depends on future legislation. A CPA who stays current on federal tax developments can keep you informed if the rules change.
Summary
Country club membership dues are not tax deductible under current federal or North Carolina tax law, and that has been the case since 2018. Initiation fees and golf entertainment are in the same category. What may still carry a partial deduction is a properly documented business meal. Keep receipts, note the business purpose, and work with a CPA familiar with the western NC market. The IRS confirms this treatment in Publication 463, and according to the Tax Foundation, the Tax Cuts and Jobs Act made over 100 changes to the individual and business tax code that are still working through practice. Knowing where you stand on the dues question is useful, but it’s rarely the deciding factor for people who find the right club in the right place.
Talk to Someone Who Knows Burlingame
If you’re seriously thinking about membership in the Cashiers area and want to see the course, meet the team, and get a real sense of how the club works day to day, the best next step is a personal tour. Reach out to Jennifer Webb at (828) 966-9200 or Learn More to schedule a visit at a time that works for you.