catering invoices can be included in "business entertainment expenses" but not "employee welfare expenses".

catering invoices are special invoices for catering industry. Invoice refers to the written proof of receipt and payment provided by all units and individuals in the purchase and sale of goods, provision of labor services or acceptance of labor services and other business activities. It is the legal certificate of financial revenue and expenditure, the original basis of accounting, and an important basis for law enforcement inspection by audit institutions and tax authorities.

business entertainment expenses are the entertainment expenses paid by enterprises for the reasonable needs of business operation. Before this financial system reform, there was no uniform standard for business entertainment expenses of all kinds of enterprises in China. Except for the expenditure standard for business entertainment expenses in the income tax law of foreign-invested enterprises, there were basically no standards for other kinds of enterprises (the Interim Provisions on Several Issues of Financial Management of Joint-stock Pilot Enterprises promulgated in June, 1992 adopted the standards of foreign-invested enterprises). The business entertainment expenses of state-owned enterprises shall be determined by the financial departments of provinces, autonomous regions and municipalities directly under the Central Government according to different conditions such as the scale of production and operation of enterprises, and the entertainment expenses of enterprises within the limits shall be reimbursed and audited at the end of the year. This management method is not conducive to creating an external environment of equal competition for all kinds of enterprises, nor is it conducive to the transformation of government functions and strengthening financial supervision. In this financial reform, the business hospitality standards of various enterprises have been uniformly stipulated.

Employee welfare funds refer to the expenses paid to enhance the material interests of employees, help employees and their families solve some special difficulties and set up collective welfare undertakings. Including trade union funds allocated, staff welfare funds extracted according to the standard, one-child health care expenses, public medical expenses, medical expenses for employees who did not participate in public medical units, hospitalization for work-related injuries, food subsidies during hospitalization and recuperation, wages of employees who have been sick for more than two months, travel expenses for employees to visit relatives, severance payment paid by the original unit, travel expenses for retired employees and their accompanying families, cremation and expenses for employees' death, subsidies for survivors' living difficulties, subsidies for long-term support personnel, and subsidies from the "budget"