Thank you for your response Rick.
The W-2 is from my regular 9-5 job. The LLC is a business I’m doing with a business partner. Basically we started making purchases for the business prior to having a business bank account. All expenses came from our own pockets as the business isn’t going to generate revenue until at least mid 2018.
When I began filing my taxes, I was asked whether or not there were unreimbursed expenses made from either partner. When I put in my expenses, it reduced my tax liability displayed on TurboTax for my personal return. It also asked me if I received a K-1 1065. After doing some research, I found varying answers online as to whether or not I need to file a 1065. The business had no income to report nor had there been any expenses coming from an account linked to the LLCs EIN. All expenses came out of our personal bank accounts.
If I claim these expenses as unreimbursed business expenses, am I required to file 1065? I called the IRS and asked and they said if there’s no income or expenses then a 1065 isn’t required in the first year. I’m confused as to whether or not the unreimbursed business expenses are categorized as business expenses or personal expenses.
