Computer equipment bought before business start time, also internet/phone, should be reported in startup cost, right?

[lanqingbrownell]

If so what category? Especially for monthly phone plans and internet services, these should only be partial of the overall cost. How could I calculate them?

[Phillip1 · Accepted solution]

The computer equipment should generally be depreciated separate from the other start-up costs. The date placed in service (that date that the depreciation starts) is the date that the business opened. 

Other monthly expenses like phone and internet plans are all lumped together as start up costs until the date that the business opened it's doors. After the business opened, those items are deductible as regular business expenses.