I created a single member LLC and got an EIN but had no activity in 2018, do I need to file taxes for that LLC/EIN?

[al123]

I have a sing member LLC and got an EIN. I had no income, expenses or employees because it was started in December 2018. Do I need to file for that LLC/EIN in 2018? Will there be a matching issue? I tried to include it as a 0 return on turbotax but turbotax didn't include it as a schedule C. 

[IreneS · Accepted solution]

UPDATED FOR TAX YEAR 2019

No - if you had no income or expenses for 2019 you don't need to file a Schedule C for the business.

However, you might want to consider filing a return, if you have startup expenses incurred in 2019(even if you have no income).

You can deduct up to $5,000 of startup costs as a current business expense.  The remainder is amortized over 180 months.

Start-up costs include:

• Survey of potential markets
• Advertising the opening of the business
• Consulting or other professional fees paid in connection with starting the business.
• Wages to employees being trained for the new business
• Analysis of possible facilities, labor force, supplies, etc.
• Travel and related expenses to secure distributors, suppliers and customers.

Enter the expenses (including startup expenses)  using these steps:

1. Click on the Business tab > Continue > I'll choose what to work on
2. On the Let’s gather your business info screen, in the Business Income and Expenses section, click the Start/Update button. 9
3. If you have already started adding information about your business, you will see the Here's the business info we have so far screen.  Click on the Edit box next to the business. 
4. If you haven't already started adding business information, continue through the screens to enter the needed information.
5. You will now be on the Your [business description] Business screen.  In the Business Expenses section, click on the Start/Update box next to the appropriate category [Startup, vehicle, other common, home office).    [Most business expenses will be added in the Other Common Business Expenses category.]
6. Continue through the screens, entering the requested information.
7. When you are finished entering expenses, you will be brought back to the Your [XX] Business screen.   From here you can enter other business items (income, expenses, assets, inventory, etc.).

[Edited | 4/13/2020 |  10:33 am PDT]