Previous years expenses

[HappyHeartsChildCare]

Hi,

I am new to this forum and new to the daycare business. I am preparing to submit my application to get my daycare license in California. I made most of my big items purchases in 2014. Things like highchair, bassinets, etc. But I have no income for 2014.

I just started watching my first client January 5th, 2015. I would like to know first of all, do I need to file taxes for 2014? I applied for an EIN in 2014. Probably jumping ahead of myself...

And my second question is, how and when can I file to have the expenses deducted?

I am kinda lost. Please help!!

Thank you!
Jenn

[TomCopeland]

starting out

Hi,

I am new to this forum and new to the daycare business. I am preparing to submit my application to get my daycare license in California. I made most of my big items purchases in 2014. Things like highchair, bassinets, etc. But I have no income for 2014.

I just started watching my first client January 5th, 2015. I would like to know first of all, do I need to file taxes for 2014? I applied for an EIN in 2014. Probably jumping ahead of myself...

And my second question is, how and when can I file to have the expenses deducted?

I am kinda lost. Please help!!

Thank you!
Jenn

Since you weren't in business in 2014, you can claim any business deductions on your 2014 tax return. You can claim all of your 2014 business expenses on your 2015 tax return.

Note: you can say that you were in business in 2014, if you were ready to care for children in 2014 and were advertising that you were ready in 2014.