USA Should an LLC in the Startup Phase File a Tax Form?

Feb 13, 2017
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United States
Greetings. We have a two-member LLC in New York State that is treated as a partnership.

The LLC was formed in 2016 but will not be open for business until 2017. We obtained an EIN in 2016. Since we were not open for business in 2016, we had no income in the year. We had expenses in 2016, but I assume that they cannot be reported as deductions until we begin business.

Judging from the instructions for Form 1065 (under "Who Must File"), there is no reason for the LLC to file Form 1065 for 2016. Is that correct? Can we take deductions for our 2016 expenses when we file for 2017 (assuming we begin business in 2017)?

Thanks for any help.


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