Find solution
How to fill a sales form?

Do I fill out income tax or not?

  • I wanted to start a self-employed, small eBay business. In order to buy items from wholesalers I needed a sales tax ID number. So I got my IBT number (Illinois Business Tax number). Consequently, I have to fill out a ‘sales tax’ form every month, but I don’t have to pay anything since I haven’t sold anything yet (I know you only pay this tax whenever you sell to someone in your state). Also, I have to worry about income tax, and income tax is what I am concerned about. Currently, I am unemployed, and I have not started the eBay business yet. Therefore, I’ve made no income through eBay/IBT number. Since I am a self-employed ‘ebayer’ and have made no income, what am I to do about my IL-1040, income tax? Do I simply just not fill out the form?

  • Answer:

    Yes

River at Yahoo! Answers Visit the source

Was this solution helpful to you?

Other answers

Do you have expenses for the business for FY2007? If so, you can claim them (you won't get any money back, of course, since you have no business income as yet) on this year's forms and carry them over to FY2008 when you can use them to offset a profit in 2008. Remember, expenses include such things as as application and license fees, postage, actual purchases of materails you haven't sold, preparation for starting up (equipment, office space, office furniture, etc). Also, if you've been filing sales and use tax reports to Illinois and do NOT file a State and Federal business return, it will 'trigger' a 'watch switch' and you're much more likely to be audited in the near future. Don't forget that any fees you may pay for tax preparation for the business are deductible business expenses for next year.

frayedknotarts

Suggest you contact the IRS (800 # is in Dex)

Curtis F

Since you are a registered business owner, you still have to fill out the form, even if you do not have to pay any tax.

cmira4

Did you file last year? If so I would file with the no income info and they will probably tell you not to bother filing next year unless you get some income.

Ernie

Sounds like it isn't necessary to do so.

f350lariat

you can if you want to

If you had no income there is no need to fill out the forms. Call the IRS to be sure.

Find the answer at www.irs.gov

judithia

Related Q & A:

Just Added Q & A:

Find solution

For every problem there is a solution! Proved by Solucija.

  • Got an issue and looking for advice?

  • Ask Solucija to search every corner of the Web for help.

  • Get workable solutions and helpful tips in a moment.

Just ask Solucija about an issue you face and immediately get a list of ready solutions, answers and tips from other Internet users. We always provide the most suitable and complete answer to your question at the top, along with a few good alternatives below.