In determining which organizational expenditures can be amortized, it is the year incurred (and not paid) that controls if the corporation uses the cash method of accounting.

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When using the cash method of accounting, expenses are recognized when paid, not when incurred. However, for amortization purposes, the year incurred is the controlling factor, regardless of the accounting method used.

In Determining Which Organizational Expenditures Can Be Amortized, It Is