Business entertainment expenses and advertising expenses incurred by the enterprise during the preparation period shall be treated as start-up expenses. Treatment of enterprise income tax: 1. I. Reference document "Guoshuihan [2009] No.98": 9. How to deal with the organization expenses (preparation expenses)?

In the new tax law, the opening (preparation) expenses are not clearly listed as long-term deferred expenses. An enterprise can deduct it in one lump sum in the year when it starts to operate, or it can deal with it in accordance with the provisions of the new tax law on long-term deferred expenses, but once it is selected, it shall not be changed. ?

The undistributed start-up expenses of an enterprise one year before the implementation of the new tax law can also be handled according to the above provisions. 2. Please also refer to the relevant provisions in Article 70 of the Detailed Rules for the Implementation of the Enterprise Income Tax Law: Other expenses mentioned in Item (4) of Article 13 of the Enterprise Income Tax Law that should be regarded as long-term deferred expenses shall be amortized in installments from the month following the occurrence of the expenses, and the amortization period shall not be less than 3 years.