Assignment task:
Background info: A new client, John Dobson, recently formed John's Premium Steakhouse, Inc., to operate a new restaurant. The restaurant will be a first-time business venture for John, who recently retired after 30 years of military service. John transferred cash to the corporation in exchange for 100% of its stock, and the corporation has leased a building and restaurant equipment.
My question: I need help with researching the tax treatment of startup expenditures, including the point at which a business begins for purposes of determining what expenses are included. What is the tax treatment or tax laws for expenses such as licensing, training, and advertising when opening a business?