Solved: I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?
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I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

 
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Employee Tax Expert

I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

You should edit the Business profile section and indicate that you disposed of the business in 2016. This will remove unnecessary forms for your return. To navigate back to the section:

  • In your open return, select My Account
  • Tools
  • Topic Search
  • Type business (schedule c) in the box, then select GO

Select Edit, next to your business you no longer have on the page, Here's the business info we have so far. Then select update next to your Business Profile. Scroll the list on the page, Let's confirm your business info and edit to dispose of the business.

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7 Replies
Employee Tax Expert

I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

You should edit the Business profile section and indicate that you disposed of the business in 2016. This will remove unnecessary forms for your return. To navigate back to the section:

  • In your open return, select My Account
  • Tools
  • Topic Search
  • Type business (schedule c) in the box, then select GO

Select Edit, next to your business you no longer have on the page, Here's the business info we have so far. Then select update next to your Business Profile. Scroll the list on the page, Let's confirm your business info and edit to dispose of the business.

See attachments.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

View solution in original post

New Member

I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

Okay. I had already did that. I was just filling in the numbers part and wanted to may sure since I had 0's, everything would be okay because I gave majority of the goods that were left away.
Employee Tax Expert

I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

If you had any inventory, equipment, vehicles or anything with depreciation you should dispose of them also in their expense categories.
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New Member

I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

How do you dispose of them? The only thing would be the inventory... (I know I sound dumb, but I just want to make sure this is correct)
Employee Tax Expert

I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

Go through the Inventory section and list your ending inventory as zero. Beg. inventory was your ending 2015 inventory.
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New Member

I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

Great that is what i did. Thank you so much!!!!!
Employee Tax Expert

I closed my business in May. I didn't buy or sell anything from Jan-May. So i have 0's for all my stuff... Will this throw up a red flag?

You are welcome 🙂
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