I have Turbo Tax Home & Business and file schedule C for my wife's business. Started a LLC partnership in August, but no income yet... do I have to file a 1065 and K1's?

[mandrgamez]

our LLC did have some start up costs mostly associated with filing business licenses, etc.  (about $600) and there are four partners.  Trying to confirm we are OK to not file a return this year.

[ThomasM]

Per the IRS FAQs regarding business entities,

• A domestic partnership must file an information return, unless it neither receives gross income nor pays or incurs any amount treated as a deduction or credit for federal tax purposes.  (https://www.irs.gov/help-resources/tools-faqs/faqs-for-individuals/frequently-asked-tax-questions-an...)

So if you intend to claim your startup costs, then you'll need to file a 1065 and issue K-1s to the partners.  You will need to use TurboTax Business software to do this, rather than Home & Business.  TurboTax Business is available as a CD/Download and is Windows-based only.

Here is an additional link to the IRS Form 1065 Instructions:  https://www.irs.gov/pub/irs-pdf/i1065.pdf.  Note page 2, which echoes the above FAQ link.