Hello, 

How do I report start-up and(or) organizational cost for a company that was set up but not yet operating? They didn't have any income/revenue and no customers yet. The Company is a franchisor and wants to file as an S-corp. The start-up cost amount to over $55k but less than $140k. I keep readying online that start-up cost if capitalized, the amortization would begin when the business begins operations. If that is the case, what do I have to report in the initial year when they are incurring the start-up cost but not yet operating? I am confused, can someone please help me?

Thank you in advance!