"Three-martini lunch" tax break should be repealed, lawmakers say

The "three-martini lunch" tax break was signed into law in December by former President Donald Trump, who said it would help revive pandemic-stricken restaurants. Less than half a year later, a bipartisan effort wants to revoke that tax break, saying the billions in lost revenue raised should be used to support child care instead. 

The tax break stirred controversy when it was passed, with Senator Bernie Sanders, an independent from Vermont, calling the deduction "corporate socialism for the rich." The idea behind the tax break was to help restaurants at a time when many remained shuttered or at lower capacity due to the pandemic. The change allowed businesses to entirely write off business meals, compared with a 50% write off for work-related meal before that. It was an issue that found a champion with Trump, who owns hotels and restaurants such as the Trump Grill in New York City and claimed the tax break would "really bring life back to the restaurants." But critics pointed out that the tax break would largely help reduce taxes for business executives, but not necessarily shore up the restaurants that were struggling the most during the pandemic.