Prepaid for Fixed assets

Forgot to mention, it is cash accounting.

Yes.

Fixed assets can only be depreciated when placed in service, i.e. in 2024.

OK. But what do I do with the expense on this year's return.  Is it considered a prepaid asset so that it shows up in the asset portion of the balance sheet in books and on the return? Or should it be somewhere else?

In 2023, in your accounting books and on your tax return, there's no expense for these fixed assets. This will show as Prepaid expenses on the asset side on the balance sheet.

Thanks. That's what I have been doing. Just needed confirmation because I was having trouble balancing books and tax. I can at least rule that out. 🙂