Small Business Taxes & Management


Small Business Taxes & ManagementTM--Copyright 2015, A/N Group, Inc.


Election to Deduct and Amortize Start-Up Expenditures


Election to Deduct and Amortize Start-Up Expenditures

Chatham Suppliers, Inc.
Fed. ID. 45-5555555
666 Lonely Hollow Road
Madison, NY 02165


In March, 2015, Chatham Suppliers, Inc. began the business of providing farm supplies.

Pursuant to Code Sec. 195(b) Chatham Suppliers, Inc. hereby elects to deduct/amortize start-up expenditures detailed below. The amount deducted for the tax year ending December 31, 2015 is $5,000. The remainder are to be amortized as follows:

Market research expenditures paid to Flood Consultants, LLC
Amortization over 180 months

Preopening expenses consisting of salaries and associated employment taxes to Mike Miller and Sharon Warren
Amortization over 180 months


Note 1-- If the expenditures had exceeded $50,000 the deductible amount would have been reduced or eliminated.

Note 2-- You should keep detailed records of the expenditures including the purpose.

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--Last update 08/24/15