Here are the answers to your questions:
- The reporting requirements for a business start when the business starts its actual operations, rather than the date of incorporation. Businesses are considered to start on the day when the business officially begins providing goods or services to customers, generating revenue. The start date for your business is March 2024.
- No Schedule is required to be filed for 2023.
- Start-up expenses can be deducted on the year that your business starts.
If you would like to see more information about Start-ups, see the TurboTax help article below:
Start-up expenses have to be amortized with a recovery period that starts with the month the business begins to operate active trade or as a business. See the following IRS page for more information on deducting start-up expenses.
Here’s how businesses can deduct startup costs from their federal taxes
Feel free to reach us again if you have additional questions.
