turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Oct 16 is the IRS deadline–file confidently with expert help. File Now
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

New Business

I started a new business, how does that affect my taxes

This feature is pending. Thanks for your patience.
Didn't get the answer you wanted? Would you like to view more questions that might be relevant?
3 Replies
Holly W
Employee Tax Expert

New Business

Hello @Lori25880 

Thank you for joining us today and congratulations on your new adventure.

I would need more information to answer appropriately.  Is it a sole proprietor, S Corp, C Corp, Partnership?  Depending the on the type of entity your business is.

 

If it is a sole proprietorship, you will report your gross income, cost of goods sold (if applicable) and then business expenses on your Schedule C   On your personal tax return Form 1040.  If you have a profit, you will have to pay self employment tax.  Here is an article that will provide you with more information:  Tax Guide for Sole Proprietors 

I will be happy to provide further information or articles if it is a different entity.  I look forward to your response!

Holly W

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

New Business

Thank you for the reply! I started an LLC for an ecommerce store in May. I am the only one on it and I have no employees. At this point I have expenses but very little income. I work full time while an am trying to launch my business.

Holly W
Employee Tax Expert

New Business

@Lori25880 

That is a lot to take on and you should be proud of yourself.  From the information provided, you will want to report your income and expenses on the Schedule C within your personal Tax return Form 1040.  

Keep up the good work, you've got this!

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

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
message box icon

Ready to start your taxes?

Hand off your taxes, get expert help, or do it yourself.

See Pricing
Manage cookies
v