It depends. If this was your first year operating as a home based business with no income, then your business has not yet officially started. You will begin the business when you have income and your expenses this year will be start up costs. Do not file for the business. If this was not your first year and you have assets you are depreciating, you should continue to depreciate them, if this is a real business and you can prove it. File the sch C with no income. Click the continue button and bypass the income. If you had no income, the IRS may well decide you were not a business but a hobby. See Earning side income: Is it a hobby or a business?

Question

Home business had $0 income. Have no forms. How do I complete the income part?

Forum|Forum|5 years ago
March 4, 2021
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TurboTax Self Employed Online

AmyC

Employee

It depends.

If this was your first year operating as a home based business with no income, then your business has not yet officially started. You will begin the business when you have income and your expenses this year will be start up costs. Do not file for the business.
If this was not your first year and you have assets you are depreciating, you should continue to depreciate them, if this is a real business and you can prove it. File the sch C with no income. Click the continue button and bypass the income.

If you had no income, the IRS may well decide you were not a business but a hobby. See Earning side income: Is it a hobby or a business?

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