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socrateaser, Lawyer
Category: Tax
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Experience:  Retired (mostly)
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I bought an existing business that included in the purchase

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I bought an existing business that included in the purchase price the cost of Goodwill and customer lists. Is this cost a business expense that can be deducted
The value of goodwill is generally amortized over a 15 year period, under IRC 197.

In plain English, you would divide the cost of goodwill by 15 and deduct 1/15th of the cost from your income each year for the following 15 years of business, or until you sell or otherwise dispose of the business.

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Customer: replied 4 years ago.

Can the deduction be written off under Section 179

Under IRC 179(d), property which can be expensed does not include intangible goodwill. So, you cannot use a 179 deduction to accelerate the deductibility of the purchased goodwill.

Hope this helps.