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What if I didn't make any money for my LLC in 2022? How do I answer the question Let's enter the income for your Energy Healing / Teaching work?

 
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2 Replies
GeorgeM777
Expert Alumni

What if I didn't make any money for my LLC in 2022? How do I answer the question Let's enter the income for your Energy Healing / Teaching work?

There is nothing to enter so just continue through the application.  While you have no income to report, did you have expenses?  If you had expenses associated with your Energy Healing/Teaching LLC, you should enter those expenses.  With expenses but no income, your business will have a net loss.  Because such loss is an ordinary loss, it can offset ordinary income.  If you have excess losses, such losses are subject to the excess business loss limitations, but generally can be carried forward to a subsequent year.  

 

@lade568581 

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What if I didn't make any money for my LLC in 2022? How do I answer the question Let's enter the income for your Energy Healing / Teaching work?

It depends if the business is "active" (just not doing much) or if you actually closed the business for good.  The expert's answer assume the business is still officially open.  If you closed the business, there is a different procedure.  

 

The business can be "Active" if you plan to solicit customers in the future and just had a slow year or decided to take some time off.  While you can deduct ordinary and necessary business expenses, if you weren't pursuing the business much, your expenses are presumably less than ordinary years.

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