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Do I need to form a llc corporation before the end of the year (one day) in order to claim deductions for 2016?

I have claimed my that I had my own business in 2015, but without an EIN number or any registered license. I did more self-employment as well as regular W-2 companies in 2016 and want to form an LLC. Do I need to file it before the end of the year, which may not be possible because it takes two days in Washington State and the offices will be closed.

So given all that, it is important to form it or should I just continue as I have done before? Are there tax advantages that would out weigh the $200 filing fee?

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1 Reply
Carl
Level 15

Do I need to form a llc corporation before the end of the year (one day) in order to claim deductions for 2016?

Just report your business income as a part of your personal return on SCH C. You don't need to "register" anything for your federal taxes. I can't speak for your state though, if your state taxes your income. Getting an EIN for the business takes about 10 minutes at https://www.irs.gov/businesses/small-businesses-self-employed/how-to-apply-for-an-ein and doesn't cost a penny.

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