Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 12-30-2016, 04:56 PM
Junior Member
 
Join Date: Dec 2016
Posts: 1
deductible training

Hello. I paid for some Real Estate Investor training earlier this year, in preparation for doing some investing. I am just now creating an LLC, to start investing. Can I take the training as a deduction against the LLC when doing my taxes for this year? I have not made any money yet in investing, so I would be reporting a loss in the LLC for the first year.



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 12-31-2016, 04:03 PM
Moderator
 
Join Date: Oct 2010
Posts: 5,258
Quote:
Originally Posted by alex192 View Post
Hello. I paid for some Real Estate Investor training earlier this year, in preparation for doing some investing. I am just now creating an LLC, to start investing. Can I take the training as a deduction against the LLC when doing my taxes for this year? I have not made any money yet in investing, so I would be reporting a loss in the LLC for the first year.
In general, LLCs qualify for credits and tax deductions that unincorporated businesses cannot take advantage of. A tax write-off, or deduction, reduces the overall income subject to tax.
But for you, you do no t have any tax benefit as you said since you did not have any income to be taxable on your return;however, you as a member of the LLC, can claim start-up deductions for qualifying expenses incurred during the first year of operation. Costs that are not deducted during the first year can be amortized over a 180-month period. According to the IRS, to qualify as a business start-up cost, the expense must be paid or incurred before the day the business began. Deductible start-up costs include market analyses, business advertising and salaries for new employees who are in training. The company can also write off fees paid for consultants and other professional services.but in your case since you spent the money in Real Estate Investor training, I do not think you can claim the expense on your return as Start-up Costs



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply

« Help | Hotel Stays? »


Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Is 100% of what I pay out, as a 1099, deductible? villybhakta Sole-Proprietorship 4 11-05-2015 08:24 PM
Non-resident alien on "optional practical training" status jdarmstrong82 Income 4 02-06-2015 05:05 PM
HSA spending tax deductible? wjbader For 2013 1 03-01-2014 02:27 AM
Is MFT supervision tax deductible? across626 Itemized Deductions 1 02-20-2012 10:50 AM
S-Corp and Education/Training Expenses robnjusa S-Corporation 1 12-23-2008 02:25 AM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning
 
 
 

» Recent Tax Q&A
No Threads to Display.