grapevine
New Member

I started a sole proprietor LLC in August 2016 and have no income.

Married filing jointly, but I started an LLC in August of 2016.  The LLC is in my name only.  No income, only expenses in 2016. What TurboTax product should I use?

MichaelDC
New Member

Business & farm

As a sole proprietor or Single Member LLC (SMLLC), you can continue to use TurboTax Home & Biz (Mac). 

TurboTax Business (Windows only, download or CD) is for S Corp, C Corp, partnerships, estates, trusts and multi-member LLCs.

To input your Schedule C LLC activity:

  • Sign in to your account and click on the  Take me to my return button (skip this step if you are already in your return)
  • Click on Search at the top of the screen
  • Input "schedule c" in the search box and hit enter
  • The first link available should be Jump to schedule c - click on this link
  • TurboTax will walk you through inputting your income, the business information, and expenses

Important:  You do not report the draws you take from your self-employed business as separate income on your tax returns, nor do you deduct these amounts on your Schedule C.  Your self-employment income for tax purposes will be the profits of the business (which may actually be more or less than the amounts you draw as compensation).  

Note:  A single-member LLC may make the election to be taxed as a corporation, which would require filing Form 1120 or 1120-S.  Please feel free to post any additional details or questions in the comment section. 

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