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Investments glossary

Ordinary and Necessary Expense (O & NE)


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Quotes of the day:

Stay away from needle drugs. Richard Nixon is the only dope worth shooting.

— Abbie Hoffman

Ordinary and necessary expenses are expenses incurred by individuals as the cost of owning a business or carrying on a trade. Ordinary and necessary expenses are categorized as such for income tax purposes, and these expenses are generally considered tax deductible in the year they are incurred.

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