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Paid 50k franchise fees in 2016. Still looking for a location for the business. Do I claim the 50k in 2016 or have to wait until the business is operational?
Bought a franchise and signed an agreement in 2016. Paid the fees of 50k to the franchisor.
Also spent ~5k in travel / training at the franchisors head quarters.
We are still finalizing the location for the franchise though and we expect to open sometime in 2018 - so no income until then.
Can I claim any of the 55k spent (I understand the 50k franchise fees would be amortized over 15 years) in 2016? When does the clock for 15 years start?
What about the 5k of business expense?
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‎June 4, 2019
3:32 PM