LLC registered, but not operational yet, therefore no income for this past year. We have already incurred a decent amount of startup costs ($15k). Can I claim deductions?

dbrwn8705 — Sat, 01 Jun 2019 05:06:06 GMT

We have been slowly working toward our dream of opening a food truck. We started purchasing equipment, the trailer, and miscellaneous items back in 2013 - all of which are documented. We just registered as an LLC in the state of Texas last week (Jan. 2017). We will be operational in the spring. I want to claim business deductions on my 2016 taxes. Can I do this?

You can only claim deductions related to your business on...

Rick19744 — Sat, 01 Jun 2019 05:06:08 GMT

You can only claim deductions related to your business once you have actually begun your business; which according to your facts is the spring of 2017.

See the attached link with some IRS commentary on this matter.

https://www.irs.gov/publications/p535/ch08.html

topic LLC registered, but not operational yet, therefore no income for this past year. We have already incurred a decent amount of startup costs ($15k). Can I claim deductions? in Deductions & credits

LLC registered, but not operational yet, therefore no income for this past year. We have already incurred a decent amount of startup costs ($15k). Can I claim deductions?

You can only claim deductions related to your business on...