How do you submit NOL carryforward for 2018 in TurboTax when there is no income accumulated for that current year?

[sdpopov85]

I am filing my LLC with my personal taxes for 2018. The LLC did not accumulate any income for 2018 but however accumulated expenses so I am trying to file NOL carryforward so I can deduct the expenses in 2019. How do you submit the expenses related to the LLC? My approach was to add all the expenses into the LLC section and leaving the income as 0 so this way Turbotax shows negative income. However, I am not sure if that is the best approach or there is a specific section where you file NOL carryforward to apply for the next year.

[IreneS]

Is your LLC  a sole proprietorship?

[sdpopov85]

Yes.

[IreneS · Accepted solution]

UPDATED FOR TAX YEAR 2019

An NOL is not a loss on your business. When the IRS speaks of "business" when they are describing an NOL, they are not referring to a sole-proprietorship. Loss on your business is taken on the 1040 Schedule 1, Line 3.

You can enter all your expenses on the Schedule C following these steps:

1. Click on Income and Expenses and then click the Start/Revisit box in the Self-Employment section.
2. On the Here's your [business] info screen, click on the box Add expenses for this work.
3. On the Tell us about any expenses screen, scroll down through the categories, mark an appropriate radio button and click Continue at the bottom of the screen.
4. After entering information on that expense, you will be returned to the Expenses screen so you can select another expense category.

[Edited | 4/15/2020 | 1:15pm PDT]

[sdpopov85]

Thank you. So I assume I can submit 0 for income or just leave it blank.

[IreneS]

Correct!