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There is was a way to continue deferring the tax liability as long as the money are in the IRA account.
As soon as funds are distributed - income is recognized fro tax purposes - and reported on your tax return.
There is no additional deferral option regardless how the money are used.
But depending on your business expenses - you might be eligible to deduct some of these expenses as soon as your business already started.
If these are startup expenses - they are capitalized - and you only start deductions after the business started.
Please communicate back if you have any specific expenses which you are not sure where or how to deduct.
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