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Want to close my business.

by krisnr05, Window Shopper

  • Created: September 7, 2010, 5:10 am
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7 comments

I started a small home business making lotions, soaps etc. a few months ago but I haven't been able to make any sales and I just don't have the time to sell anything. I am not sure if I should close it or not. If someone doesn't make any sales will they be taxed even just having a business?

Tags: Discuss Popular Topics, Self Employed & Home Based Business
‹ Want to close my business. how much does it cost for SME 's cost of learning? ›

JimD | Former Moderator | 9/7/2010 - 5:10 am

This post is now marked read-only due to the high likelihood of irrelevant posts

phanio | Contributor | 9/6/2010 - 11:32 am

Most taxes are based on income - not losses. The IRS's website has tons of information about closing your business. Personally, I wish you would change your mind and look for other ways to market your business to keep it going.
Professional Web Site: http://www.businessmoneytoday.com/

gretcyshaw | Creator | 9/1/2010 - 4:06 am

You wont be tax if you dont make any sales. Just report no sales but you still have to pay the yearly fees. Also if you wont used it anymore I suggest that you close it as soon as possible or you will have a lot of problem when you do want to open a new business in the future.

krisnr05 | Window Shopper | 8/30/2010 - 6:03 am

Thank you very much for the reply. I guess you just never know when you could be taxed and making no income from it right now wouldn't help any. So now I don't have to worry about it. Thanks.

JimD | Former Moderator | 8/30/2010 - 5:04 am

krisnr05, There were two business article just posted last week that might interest you. Closing Up Shop? Avoid Fines and Lingering Liability by Dissolving Your Business How to Restart A Close Business If you think this is just a temporary leave, you can suspend your business. However you are still required to file all necessary paperwork as if you were in business. This includes tax documents, annual reports, etc. JimD

NRiddle | Contributor | 8/27/2010 - 3:39 pm

No, you'll just need to report the loss on your taxes. Depending on if you have a LLC, S Corp, Etc you may need to disolve the buisness in the state it was formed in.
Professional Web Site: http://www.twitter.com/Cork_Flooring

JimD | Former Moderator | 8/30/2010 - 6:09 am

krisnr05, You might not be taxed specifically, but if you do not file your tax returns, you may accrue fines or penalties. JimD