Start-up costs for failed venture


D

David Ebbole

A friend investigated a business opportunity and planned on
starting the business. He got licenses and company name and
purchased assets and a vehicle.

However, he never received any payments, even though he says
he is owed money.

He closed the business in the same year he started (2003).
He sold the vehicle and either sold or converted to personal
use the other assets.

Now, the research I have done indicates he can take a
capital loss on sch D or form 4797, I'm not sure which. So,
my question is where to report the start-up costs of a
business that never really got started? Also, is the sale
of the vehicle reported on sch D or form 4797?

Thanks,

David
 
Ad

Advertisements


Ask a Question

Want to reply to this thread or ask your own question?

You'll need to choose a username for the site, which only take a couple of moments. After that, you can post your question and our members will help you out.

Ask a Question

Top