When did my business start?

[mipascale]

I went to home inspector school in October 2016, passed my state licensing test in November, purchased liability insurance in December, set up my LLC in February 2017, I had no income from my new business in 2016.

What date can I use for when my business started, November 10th when I passed my state licensing test, or February when I set up my LLC?  

What can I claim in 2016?

[RichardG · Accepted solution]

The costs of going to inspector school and taking the exam are not deductible.  The IRS does not allow tax deductions for costs associated with entering a new trade or business.  Your only deductible expense for 2016 is the insurance premium. 

Your business started sometime after November 10, whenever you began holding yourself out as a house inspector and soliciting business.