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New Member
posted Apr 13, 2022 8:59:05 AM

Startup Costs on Qualified Joint Venture Issue

We are filing separate Schedule Cs for our QJV on our jointly filed 1040, but when I put 50% of startup costs in each, it only appears in one of the Schedule Cs. How do I get it to be in both and calculate, correctly? Is it because the total of the startup costs is higher than $5000?

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3 Replies
Expert Alumni
Apr 13, 2022 9:14:44 AM

I don't think the $5,000 is the issue.  It may be that you labeled both Start-Up Costs the same.

 

How to list startup costs for a business

  1. Select Intangibles, 
  2. Other property on the Describe 
  3. This Asset page.
  4. Select Amortizable intangibles on the Tell Us a Little More page.
  5. Type Startup Costs as the description, then the cost remaining to be amortized and the date you opened for business.

In step 5 make one Startup Cost 1, and the other Startup Cost 2, or some variation of that.

New Member
Apr 13, 2022 9:27:58 AM

I’m using Home & Business CD and I don’t see those options. The only thing I can change is Business Description to differentiate the split of the business between me and my wife. Is that it?

Expert Alumni
Apr 14, 2022 5:25:07 PM

The expense limit on startup expenses is $5,000, so you can't list more than $5,000 total between the two of you. The remaining startup expenses after you have used up the $5,000 allowance is set up as an intangible asset in the asset and depreciation section and written off over 15 year as explained by @JohnB5677.