Deductibility of Feasibility Studies.

The article provides insights on whether the taxpayer can deduct the costs of the feasibility study of his or her business. According to Section 195(a) of the U.S. Internal Revenue Service, no deduction shall be allowed for start-up expenditures. It stresses that the taxpayer would have to prove that it is already engaged in a particular trade or business under Section 162 to be able to take a deduction.