Question

Problem 3-15 Dues, Subscriptions, and Publications (LO 3.7) Carey opens a law office in Chicago on January 1, 2019. On January 1, 2019, Carey purchases an annual subscription to a law journal for $170 and a 1-year legal reference service for $1,500. Carey also subscribes to Chicago Magazine for $54 so she can find great places to take client's to dinner and review the Best 50 Lawyers in Chicago list published each year. Calculate Carey's deduction for the above items for the 2019 tax year.

Answer 1

Carey started the business in Chicago on 1/1/2019 . He take the subscription of Law journal of $170 , 1 year legal reference service for $1500 and Chicago mazaines for $54. All the expenses have been done for the business purpose. Subscription of Chicago mazanies have also taken for official purpose to find out the best resturants to meet up with clients. so, all the expenses done for the business purpose, therefore Carey will get the deduction of all the expenses done for business purpose.

Total deduction receivable for year 2019 = 1500+170+54 = $ 1724

Answer 2

$170 + $1,500 = $1,670. I do not believe the Chicago Magazine qualifies as a professional publication so it should be excluded.