Indo Corporation was organized on January 4, 2019, and began active business on January 5, 2019. Indo incurred the following expenses in connection with creating its business.

What is the maximum amount of organizational expenses which may be deducted by Indo on its 2019 tax return?

a. $1,300

b. $1,700

c. $1,850

d. $2,550

e. None oft he above

Transcribed Image Text:

Professional fees for stock issuance State incorporation fees Printing costs for stock certificates Broker's commissions on sale of stock Legal fees for drafting the charter Expenses for temporary directors $400 200 150 700 600 500