Deductions & credits

It all goes in same area, you invested in a company and got nothing in return.  This is the correct place to enter this.  It is actually similar to me buying XYZ stock and then having it go worthless.

In your case it is a capital loss of the investment, and the tax laws treat it the same way.

Now if you were given a K-1 or anything and had losses over the last few years since 2012, those losses would reduce the cost basis of your investment.