Unreimbursed business expenses typically filed on Form 2106, safe deposit box rental, hobby expenses, investment fees and expenses, and legal fees are no longer deductible. 

There is an observation that the evolution of this law, certain employees may want to become independent contractors.  Therefore, they could file their income and expenses on Schedule C on the 1040 and deduct the out-of-pocket expenses.  However, the Internal Revenue Service already has initiatives for contract labor versus employment due to the laws of self-employment tax.  The effective date will be for tax years beginning after December 31, 2017, and before January 1, 2026.

This change along with entertainment will have the most material effect on employees who do not receive reimbursement for out-of-pock expenses from their employers.  With the 21% flat tax for C-Corporations, they could consider reimbursing 100% of all reasonable expenses submitted by their employees to generate revenues.  The limitation on entertainment expense will affect both individual taxpayers and businesses.