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February 8, 2023
Question

I started a new business in November. We have had expenses to start the business but no income. Do I have to file this year?

  • February 8, 2023
  • 2 replies
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We completed formation of the company Nov 28th.  EIN # was issued 12/22.  There has been no income as we are awaiting the business license.  We have only incurred the expense thus far.  Do I Need to file a business tax return this year?  It is a single member LLC

2 replies

February 8, 2023

No, you don't need to file a business tax schedule this year. Since you are a single member LLC, you will file your business income and expenses on a schedule C, attached to your personal tax return form 1040. You would only file that schedule if you have income or expenses to report. The expenses you have incurred would be considered startup expenses and you would start deducting them in the year you open your doors for business.

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February 9, 2023

when your doing the 2023 return in 2024, repost because these appear to be section 195 expenses which require special treatment on schedule C for 2023