How to file this loss for my LLC?

You aren't am employee of your LLC; you are the owner. You use Schedule C. The costs you are talking about are what are called "startup costs." You keep track of them; when you first have customers who are ready to buy, then you can begin writing off the startup costs. If the total is less than $5,000, you get to write them off immediately. Additional amounts can be written off over a 15-year period (used to be 5 years for everything). If there's more than $50,000, you can't use all of the immediate writeoff. Any equipment you need to buy for the business can be either depreciated or immediately written off using Section 179.

-- Tom Healy, CPA Boulder, CO Web:

If the business isn't started in the same year the equipment is purchased, 179 isn't available.

-- David M. Woods, EA, ChFC, CLU Woods Financial Services Norwood, MA 02062

Actually it is if there is other earned income on the return (from a day job, for example).

-- Tom Healy, CPA Boulder, CO Web:

I would disagree, on the basis that the assets weren't "placed in service" in the year they were purchased. They cannot be placed in service for a business that is still in a startup phase and not actively conducting business.

-- David M. Woods, EA, ChFC, CLU Woods Financial Services Norwood, MA 02062