Welcome to Maxi-Pedia Forum. Maxi-Pedia discussion forum is a free community inviting you to express your ideas and discuss various topics with other contributors.

March 29, 2024, 10:42:39 am *
Welcome, Guest. Please login or register.
Did you miss your activation email?

Login with username, password and session length
 
   Home   Help Search Login Register  
Most Recent Posts:
Pages: [1]
  Print  
Author
Topic: 

Partnership with zero income this year - must we file return?

 (Read 12008 times)
indian
Semi-Newbie
*
Posts: 32


« on: November 17, 2008, 10:32:01 am »

Hey folks, i have a question. I am running a little partnership with my buddy, but we have not made anything this year, we just did not conduct our business this year. Do we still need to file a tax return even though our partnership had no income for the year?
Logged
Maxi-Pedia Forum
« on: November 17, 2008, 10:32:01 am »

 Logged
sunset
Semi-Newbie
*
Posts: 31


« Reply #1 on: November 25, 2008, 01:42:36 pm »

Hey folks, i have a question. I am running a little partnership with my buddy, but we have not made anything this year, we just did not conduct our business this year. Do we still need to file a tax return even though our partnership had no income for the year?

If you had no income and you have not carried over any loss from the last year, then you would not need to file a return. However, it is a good idea to always file one. The reason is that

a) if for whatever reason something does not turn out right, and you perhaps should have had to file a tax return, IRS could penalize you not only for your potential tax liability but also for not filing return
b) if you file one year, then not file the next year, then file again, you are drawing some attention to your self which you do not want to do

It is better to file return with all zeros (or perhaps just claim than none.
Logged
Maxi-Pedia Forum
   

 Logged
Pages: [1]
  Print  
 
Jump to:  

Page created in 0.074 seconds with 21 queries. (Pretty URLs adds 0s, 0q)