Can freelancers deduct irs start up costs?
Business_Expensesfreelancerssmall businessconsultantsentrepreneurs
Freelancers can deduct startup costs as business expenses, but the IRS limits the immediate deduction to $5,000 for startup costs and $5,000 for organizational costs. Any amount over these limits must be amortized over 15 years. Startup costs include expenses incurred before the business begins operations, such as market analysis, advertising, and training. However, if the total startup costs exceed $50,000, the immediate deduction is reduced.