These are things I've read and heard, but you can never be 100% sure that the sources are right., if the source isn't Michael himself. An example: Jermaine said MJ's favourite colors were gold and red, Taraborrelli said in his book that it was yellow, so who are you going to believe...
GAAP, however, generally requires that these costs be expensed when incurred because it is difficult determine their future benefits and relation to future revenues (the matching principle). Unless there are large amounts of organizational expenses, they are usually expensed for GAAP and financial reporting purposes.
may elect to expense $2,500 of the organizational costs and amortize the remaining $50,000 over 180 months, beginning in the month the partnership begins business. Sigma cannot expense the full $5,000 allowed by the statute because its organizational expenses exceed $50,000 by $2,500. Therefore, the maximum deduction of $5,000 is reduced by this $2,500 excess, leaving an expense of $2,500. Consequently, Sigma may claim a $2,500 current expense and an amortization deduction of $556 ($50,000/180 months Â± 2 months) on its first Form 1065.