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blaeco
New Member

I created an LLC, it cost me $300 plus all the other expenses, how do I link those expenses to my regular Turbotax?

I created an LLC, it cost me $300 plus all the other expenses, how do I link those expenses to my regular Turbotax (office equipment, electricity, water, rent)
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Vanessa A
Expert Alumni

I created an LLC, it cost me $300 plus all the other expenses, how do I link those expenses to my regular Turbotax?

The LLC costs would be entered as an expense under legal and professional fees. If you are a single member LLC, and did not choose to be treated as an S-Corp, then this would be reported on Schedule C of your return along with your office equipment depreciation or expenses, and other expenses directly related to your business.  Schedule C then attaches to your 1040 which is the main form that you file when you file a return.

 

Do you have an office that stands apart from your home or are you taking home office deductions?  In general, electricity, water and rent are only deductible if you have a stand alone structure or  you have a spot in your home that you use regularly and exclusively for business (unless it is a day care) and then it is  prorated based on the home office versus rest of house. 

If you have a Multi-Member LLC, then you would still enter the costs as Legal and Professional fees in the business expense section, but you would enter it on form 1065 using TurboTax Business, then the business would generate a Schedule K-1 which you would enter on your personal return.


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