topic Re: LLC Deductions in Get your taxes done using TurboTax

LLC Deductions

melpaw57 — Tue, 24 Feb 2026 08:15:40 GMT

I started an LLC in 2023 for my therapist business. I am the only owner. I had no business income in 2023, but I had a significant amount of start up expenses. I was told that I could deduct these on my personal tax return, which I understand, but I was also told (by a supposedly knowledgeable entity) that I could actually deduct and get a refund for more than the amount of tax that I owe on my personal return. This dosen't sound right to me, but just wanted to be 100% sure.

Thanking you in advance.

Re: LLC Deductions

Anonymous_ — Wed, 27 Dec 2023 19:03:29 GMT

See https://www.irs.gov/newsroom/heres-how-businesses-can-deduct-startup-costs-from-their-federal-taxes

If you were not actually open for business in the 2023 tax year, then you would not file a return for the business (Schedule C or otherwise).

Also, your question has a TurboTax Business tag. If the LLC is a single-member LLC (just you), then the LLC does not need to file any kind of separate income tax return (i.e., you report on Schedule C).

Re: LLC Deductions

melpaw57 — Fri, 29 Dec 2023 21:02:06 GMT

Thank you TagTeam.

So since I was not open for business in 2023, does that mean that I cannot deduct any of my startup costs incurred in 2023 (licensing and consulting fees, required courses, etc.)? If not, can I deduct these 2023 costs in my 2024 taxes?

Re: LLC Deductions

Anonymous_ — Fri, 29 Dec 2023 21:20:56 GMT

Yes, 2024.

See https://www.irs.gov/publications/p535#en_US_2022_publink1000208939

and

https://www.thetaxadviser.com/issues/2017/sep/deducting-startup-expansion-costs.html