Which of the following is not required for an expenditure to be deductible as a business or investment expense?
A)recurring in nature
B)ordinary and necessary
C)reasonable in amount
D)incurred by the taxpayer

Question

Quizplus · Accepted Answer

While an expense being recurring in nature may be a factor in determining its deductibility, it is not a requirement for an expenditure to be deductible as a business or investment expense. The three requirements for an expenditure to be deductible are that it must be ordinary and necessary, reasonable in amount, and incurred by the taxpayer.

Which of the Following Is Not Required for an Expenditure