This sort of falls into personal finance and money but also has a lot to do with business so I am asking the question here.
I have just recently started a LLC of which I am the sole member. I am pouring every bit of cash that I can scrounge into the business. For now, the business is conducted outside of my 9 to 5 job which pays the bills. To facilitate the funding of the business, I have adjusted the withholding on my paychecks such that I have the least amount of tax held (single and 10). I don't expect to be profitable this year. So, as I understand it, the business is a 'pass through entity' and so the loss will be passed on directly to me. So, if I show a loss of $20,000, is that amount deducted directly from my personal taxable income? I just want to keep rough tabs on my personal tax liability so that I am not surprised come April of 2013.