Question: Michael has signed a binding contract for Tom to provide Michael with legal services. Michael paid $1,500 to Tom and owes an additional $6,000 on

Michael has signed a binding contract for Tom to provide Michael with legal services. Michael paid $1,500 to Tom and owes an additional $6,000 on the contract. The services will commence late next year. When can Michael claim the deduction if he uses the accrual method?

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