beech corporation an accrual basis calendar year taxpayer

1 eBook Calculator Problem 11-6 Special Deductions and Limitations (LO 11.3) Beech Corporation, an accrual basis calendar year taxpayer, was organized and began business on July 1st of the current calendar tax year. During the current year, the corporation incurred the following expenses: State fees for incorporation Legal and accounting fees incident to organization Expenses for the sale of stock Organizational meeting expenses $500 4,150 2,100 750 Assuming that Beech Corporation does not elect to expense but chooses to amortize organizational expenditures over 15 years, calculate the corporation's deduction for its current calendar tax year. 150 x New businesses may incur organizational expenditures or start-up costs, or both prior to starting a business. Organizational expenditures are incurred by partnerships, Los, and corporations in the process of forming an entity in which to operate business. Corporations amortire guling organizational costs over a statutory period, and there is no permit to the amount of costs that can be amortized. Corporations can elect to deduct a statutory dollar amount of organizational costs in the year they begin business Previous Next > more Check My Work uses remaining