Which of the following statements is incorrect?

. Start-up cost deductions are available only for existing business taxpayers.


. Regarding the start-up costs, if the new business is not in the same line of business as the existing one and if the new business is not launched, none of the start-up costs are deductible.


. In general, illegal bribe or kickbacks are not deductible.


 Political contribution is deductible if it is paid to local legislative body or if the contribution is only associated with monitoring the legislation.

. A taxpayer doing illegal business cannot claim deduction on the cost of goods sold.