- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Get your taxes done using TurboTax
Congratulations on becoming a new business owner!
First item to discuss is the LLC. If it was set up as a single member/owner LLC (SMLLC) then it is disregarded for additional partnership tax reporting which means no additional tax return is required like a partnership return form 1065. The income and expenses of the business will be reported as a schedule C on your personal 1040 tax return.
If an LLC is owned by multiple members or by a husband and wife in a non-community property state the LLC should file as a partnership. However, in community property states you can have your multi-member (husband and wife owners) and that LLC can get treated as a SMLLC for tax purposes.
Once you have the reporting requirements figured out you are ready to review income and expense rules for the business. The IRS has a great resource for business owners that discusses all the tax aspects. It can be found here:
IRS small business owner tax center
Also you may want to review the rules regarding start up expenses found here on the Turbo Tax link:
Bookkeeping and tracking your income and expenses will be very important come tax time. Be sure to use an accounting software that meets your needs for the business. I recommend the Quick Books Online version that is offered by Intuit. More information can be obtained at this website
Good luck on your new venture!
**Mark the post that answers your question by clicking on "Mark as Best Answer"