Claiming 2017 expenses in 2018

I had started a business in 2017 but I didn't register it until sometime in 2018. When I registered the business I said it started in 2017 because I had expenses related to it (I hadn't started making sales in 2017 yet). How do I go about claiming those expenses from the previous year and setting the start date in 2017 on my taxes?

Answer

You'll need to "adjust" your 2017 tax return to report your 2017 expenses. Expenses cannot be carried forward to another year and applied against that year's income. If you had "Capital Costs" (items for which you are claiming Capital Cost Allowance or depreciation on), you could choose to use these in a future year as CCA is an optional claim. 

Here's a little more information you might find helpful from TurboTax on CCA and Expenses: https://bit.ly/2NUNalo

Was this answer helpful? Yes No
Original
Moderator

No answers have been posted

More Actions

People come to TurboTax AnswerXchange for help and answers—we want to let them know that we're here to listen and share our knowledge. We do that with the style and format of our responses. Here are five guidelines:

  1. Keep it conversational. When answering questions, write like you speak. Imagine you're explaining something to a trusted friend, using simple, everyday language. Avoid jargon and technical terms when possible. When no other word will do, explain technical terms in plain English.
  2. Be clear and state the answer right up front. Ask yourself what specific information the person really needs and then provide it. Stick to the topic and avoid unnecessary details. Break information down into a numbered or bulleted list and highlight the most important details in bold.
  3. Be concise. Aim for no more than two short sentences in a paragraph, and try to keep paragraphs to two lines. A wall of text can look intimidating and many won't read it, so break it up. It's okay to link to other resources for more details, but avoid giving answers that contain little more than a link.
  4. Be a good listener. When people post very general questions, take a second to try to understand what they're really looking for. Then, provide a response that guides them to the best possible outcome.
  5. Be encouraging and positive. Look for ways to eliminate uncertainty by anticipating people's concerns. Make it apparent that we really like helping them achieve positive outcomes.

Select a file to attach:

Do you still have a question?

Ask your question to the community. Most questions get a response in about a day.

Post your question to the community