Question

rect Question 7 0/0.2 pts In 2019, Pablo, who is not otherwise involved in the gas station business, spends $53,000 investigating the acquisition of a gas station. All costs are ordinary and necessary. Pablo acquires the gas station and begins business on Nov. 1, 2019. What amount can Pablo deduct in 2019 for the expenses incurred in investigating the acquisition of the gas station if Pablo makes an election to accelerate his deductions as much as possible? 2,000

Answer 1

Q-7 solutions * $5000 is the markinum amount that can be wsite off for costs involved in buying a new business. & However, for each dollas that you spend above $ 50000 you lose a dollar on the deduction. As $ 2000 pable spent $53000 he will got only as write off. → Remaining expenses will have to be amootised over next few years. $2000 can pablo deduct in 209.