Yes, it is possible to take expenses.
- You can enter your startup cost under the Business
tab.
- In the Business Income and Expenses
section click "I'll choose what I work on."
- Next, click update under the Business Income and
Expenses
field and click edit next to the business you need to update.
- In the Business Expense field, click the Start button next to
Startup Cost and follow the prompts to enter your startup expenses
Startup costs come from investigating the creation or
acquisition of an active trade or business. They are paid or incurred before
the business opens its door.
Examples include:
- Market research
- Travel costs
- Salaries
- Consulting fees
- Accounting and legal fees
- Pre-opening advertising expenses, and
- Overhead
Up to $5,000 of startup costs paid or incurred can be
deducted if the total startup costs incurred don't exceed $50,000. An election
can be made to amortize costs in excess of $5,000 over a period of 15 years.
