What is the name of your state (only U.S. law)? PA
We have a two member LLC that had no revenue in 2007 and tiny expenses. We did not file a 1065 with IRS for 2007. In 2008 we also had no revenue and a bit more expenses. We want to file a 1065 for 2008 so we can deduct the losses on our personal taxes.
The question is whether we still need to file for 2007 or can be consider that as a year with no income and no deductible expenses and thus no need to file (as per 1065 instructions).
I don't want to be in a situation where we file for 2008 and get penalized for not filing for 2007 and have to pay large penalities - which will be worse than taking the 2008 deductions.
FYI - We have just closed down the LLC and are trying to just wrap everything up properly.
We have a two member LLC that had no revenue in 2007 and tiny expenses. We did not file a 1065 with IRS for 2007. In 2008 we also had no revenue and a bit more expenses. We want to file a 1065 for 2008 so we can deduct the losses on our personal taxes.
The question is whether we still need to file for 2007 or can be consider that as a year with no income and no deductible expenses and thus no need to file (as per 1065 instructions).
I don't want to be in a situation where we file for 2008 and get penalized for not filing for 2007 and have to pay large penalities - which will be worse than taking the 2008 deductions.
FYI - We have just closed down the LLC and are trying to just wrap everything up properly.