G2R Posted June 23, 2022 Report Share Posted June 23, 2022 Hello! I've entered approx. $8k in startup costs for a client into ATX. I cannot figure out how to get ATX to allow the $5k deduction. Anyone know how? Quote Link to comment Share on other sites More sharing options...
mircpa Posted June 23, 2022 Report Share Posted June 23, 2022 May be reduce recover period to 1.6 yrs. What kind of assets are these those that you want to write off almost 63% in year 1 ? Quote Link to comment Share on other sites More sharing options...
jklcpa Posted June 23, 2022 Report Share Posted June 23, 2022 Have you tried entering the IRC section in the box just above the serial number area? Or possibly there is a different entry required for "method" and "convention"? Sorry, no longer use ATX so just guessing it is something simple on that screen. 1 Quote Link to comment Share on other sites More sharing options...
Lynn EA USTCP in Louisiana Posted June 23, 2022 Report Share Posted June 23, 2022 I have entered the start up costs as an 'other expense' and then amortized the amount that exceeds the $5,000. 6 1 Quote Link to comment Share on other sites More sharing options...
grandmabee Posted June 23, 2022 Report Share Posted June 23, 2022 Yes, You enter them as expense then amortize the balance. I think the instructions say enter them in the expense they go to IE: office supplies, advertising. etc. 1 1 Quote Link to comment Share on other sites More sharing options...
G2R Posted June 23, 2022 Author Report Share Posted June 23, 2022 2 hours ago, Lynn EA USTCP in Louisiana said: I have entered the start up costs as an 'other expense' and then amortized the amount that exceeds the $5,000. 2 hours ago, grandmabee said: Yes, You enter them as expense then amortize the balance. I think the instructions say enter them in the expense they go to IE: office supplies, advertising. etc. This is what I ended up doing. Thanks for the replies everyone. 2 hours ago, jklcpa said: Have you tried entering the IRC section in the box just above the serial number area? Or possibly there is a different entry required for "method" and "convention"? Sorry, no longer use ATX so just guessing it is something simple on that screen. Yes, I tried this. It didn't change anything. Thanks for your input. Quote Link to comment Share on other sites More sharing options...
Abby Normal Posted June 27, 2022 Report Share Posted June 27, 2022 Subtract 5,000 from the cost basis of the asset you entered, then expense the 5,000 as other exp, and amortize the remaining 3,653. 1 Quote Link to comment Share on other sites More sharing options...
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