Jasmine started a new business in the current year. She incurred $10,000 of start-upcosts. How much of the start-up costs can be immediately expensed (excluding amounts amortized over 180 months) for the year?
A) $5,000
B) $10,000
C) $0
D) $2,500
E) None of the choices are correct.

Question

Quizplus · Accepted Answer

Under IRS rules, a business can immediately expense up to $5,000 of start-up costs in the year the business begins, with the remainder amortized over 180 months.

Jasmine Started a New Business in the Current Year