Writing Off Start Up Costs for Your LLC

[Steven Fitzen]

One of the biggest hurdles I faced as a new investor was the initial overhead costs of creating a legal entity through which to protect myself, as well as the desire to add a sense of legitimacy to my presence. While creating an LLC isn't something that will force you into bankruptcy, I still thought it was awesome when I discovered that you could write off up to $5,000 in startup costs. I'll abbreviate what I found, and then post the link to the source.

1) Determine the amount of startup expenses incurred by your LLC

2) Write off your startup costs on your tax return by filling out Form 4562 and attaching it to your tax return for the first year you are in business.

3) File your tax return.

It's that easy! Now new investors who want to create a business presence don't have to fear that initial start up fee, at least the first $5,000 anyway.

original article can be found here: http://smallbusiness.chron.com/write-off-startup-costs-llc-15790.html